In the last few months we have noticed a similar trend to the residential property market in that levels of enquiries and interest have been lower than we would have hoped for however the last 7-10 days has seen a noticeable increase in the level of interest, viewings and offers coming forward. We expect 2 or 3 freehold businesses to go ‘Under Offer’ in the next couple of weeks as deals get agreed and finance offers get put in place.
It is difficult to predict why there is a sudden increase in interest however we hope that it continues throughout the Summer, which is often a time that things go quiet as the holiday season gets into full swing. As always interest from serious applicants to buy businesses is a much smaller pool of people than those looking to buy or invest into residential property however it is good to see that the quality of people looking to buy continues to be high and especially with higher value, freehold businesses the buyers either need to have cash in place or have the ability to borrow funds. Anyone looking to borrow money these days needs to be well funded themselves to put down the 35% minimum deposit and then have a good credit score, business plan and set of accounts to be able to borrow the rest. If anyone is looking to raise finance to buy a business it is important that you talk to the right people. We are able to put you in touch with a Commercial Finance Broker who has helped other clients buy businesses and raise the required funds.