Many angel investors and venture capitalists are pulling back and regrouping right now as the economy takes a hit.
Does that mean you should postpone buying an online business?
Actually, it increases your odds of getting better terms from the seller. And in some cases, you’ll be able to acquire a sound business that wouldn’t otherwise be for sale.
There are founders who are getting a rude awakening as funding for their startups dries up. What they thought would quickly become a unicorn won’t.
And, let’s face it, many startup founders have the attention span of a squirrel. At the first sign of adversity (e.g., a recession), they start looking for something new to do, ready to abandon an otherwise good business.
That’s where you come in as the potential buyer of the startup.
Of course, you’ll want to perform due diligence and structure any deal to protect you when you decide to buy an online business.
But the opportunities are there. With more coming. You just have to look.
If you need legal help with the acquisition, it’s probably time to schedule a phone consultation with Business & Technology Lawyer Mike Young.