What Small Business Should I Start? Actually, It's Better to Buy One.

The reality is, starting a business from scratch is tough - it takes time, money, and a lot of trial and error before you start making a profit.

That’s why many entrepreneurs are skipping the startup struggle and buying an existing small business instead. Let’s talk about why that might be the smarter move for you.

The challenges of starting a business from scratch

Building a business from the ground up isn’t easy. Think about it. When you start a business, you need to:

• Find a product or service people actually want
• Build a customer base from zero
• Hire and train employees
• Develop systems and processes
• Get through the cash flow struggles of the early years

Why buying an existing business is a smarter move

Instead of starting from zero, imagine stepping into a business that’s already making money. Here’s why buying a business can be the better choice:

• Instant cash flow - Instead of waiting months (or years) to turn a profit, you step into a business that already has paying customers.
• Proven business model - If the business has been running successfully, you know the demand is there.
• Established brand & reputation – No need to start from scratch; customers already know and trust the business.
• Existing employees & processes - You inherit a trained team and systems that keep things running smoothly.
• Easier financing options -  Lenders are more likely to fund a business with a track record of success than a brand-new startup.

Real-life example: A coffee shop buyer vs. a coffee shop startup

Let’s say you want to own a coffee shop. You have two choices:

1. Let’s say you want to own a coffee shop. If you start one, you’ll have to find a location, renovate, buy equipment, hire staff, market aggressively, and hope customers show up. Even with all that effort, most new coffee shops take years to turn a profit - if they survive.
2. Now imagine you buy an existing coffee shop. The location, equipment, and employees are already there. Customers walk in every day. You step in as the owner, focus on improvements, and grow from a solid foundation. Instead of struggling to survive, you start strong.

Which one sounds like a better path to success?

Common objections: "But isn’t buying a business expensive?"

It can be, but financing options make it possible:

• Seller financing - The current owner lets you pay over time.
• SBA loans - The Small Business Administration offers loans with lower down payments.
• Investor partnerships - You can team up with others to fund the purchase.

Many businesses are more affordable than people think. Some are even owner-financed, meaning you don’t need a huge upfront investment. If you're wondering how to finance a business purchase, check out our guide: How to get financing to buy a business.

How to find a small business to buy

If buying a business sounds like a good fit for you, the next step is finding the right one. Here’s how:

1. Identify your interests & skills - What industries excite you? What experience do you have?
2. Search for businesses for sale - Browse small business marketplaces like SMB.co to explore available opportunities.
3. Evaluate financials - Look at the business’s revenue, profit, and expenses to make sure it’s a good investment.
4. Understand why it's for sale - Owners sell for different reasons; retirement, new opportunities, or declining business. Make sure you understand the full story.
5. Do your due diligence - Review contracts, leases, and liabilities before making an offer.

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So, what small business should I start? Don't! Buy a business instead.

Starting a business from scratch is tough. Buying an existing business lets you skip the hardest parts and jump straight into ownership with a head start. Whether it’s a coffee shop, a cleaning service, or an e-commerce brand, buying gives you instant customers, revenue, and a proven model.

If you’ve been asking yourself, "what small business should I start?", consider that buying might be the smarter path. Don’t just think about what to start—think about what to buy.

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