Buying an existing business is a big decision. It is critical that, as a prospective buyer, you spend time investigating the business prior to making the decision to purchase. Obtaining information about the business can help you make a well informed decision. You must be prepared to carefully assess all business records and risks while searching for any "skeletons in the closet."

Buying a business can be an intimidating experience. There are many issues which must be considered in order to make an educated purchase decision. It is important to objectively evaluate all aspects of the business as well as to consider your goals, objectives, and strategic plans for the business. Included below are suggested do's and don'ts of buying a business.

Do consider why the business is for sale. Evaluate possible reasons why the business is for sale. If sales are declining, consider the causes and explanations.

Writing a business plan is a crucial step in starting and/or operating a small business. However, the thought of writing a business plan can seem overwhelming. To help you avoid some common errors, consider these suggested do's and don'ts of writing a business plan.

Why do I need a business plan?

The business plan is a key component for a successful business. A plan is vital because it:

• Provides an organized system for researching your business

• Drastically increases your chances of success

• Provides a game plan for your business to follow

• Provides insight into your business to facilitate funding and investment