There are many reasons why owners sell their businesses. Moreover, one should not think that they are trying to get rid of only unprofitable companies with huge debts. Not at all! Often sell and profitable projects. Let's look at the most popular reasons why owners sell their companies.
1. Need money. This is the most common reason. The entrepreneur may need money, both for investing in his new, more successful projects, and for covering debts or just for personal needs. In general, a person needs money, and he decided to sell his successful business. Does he have a right to this? It has. Can we forbid him to do this? No, after all, it is his right. Then why not buy a business from him - to help a person, and also to invest money profitably?
2. Debts and lawsuits. Business is an occupation associated with certain risks from which no one is safe. Someone, having found themselves in a difficult situation, is looking for decent ways to solve their problems, and someone is trying to shift their problems to other people and, in addition, make profit of it. Unfortunately, there are enough rotten people everywhere, including in business.
3. Loss-making enterprise. A business can become unprofitable for a number of reasons. By the way, this does not always happen due to improper organization of the company. The owner can simply go headlong into a new project and lose interest in an existing business. Or maybe take on what he can’t do. Therefore, I would not be afraid to buy a loss-making business. On the contrary, I would look closely at such projects.
More information here - https://en.wikipedia.org/wiki/Business
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