Buying a Business in Pattaya

December 13, 2011

Buying a business in Pattaya can be a complex process. There is only one reason why you should buy a business: because you want something better than whatever it is that you are doing now.

TBAC has been in the business of brokerage since 2006, and have acquired extensive knowledge which enables us to navigate buyers through the potential minefield of purchasing a business.

I have a lot of bars, restaurants and guesthouses on my books. Many clients who enquire about these types of businesses are often concerned about location. In my opinion this is a fallacy. Owning a bar or restaurant is all about good management, having good staff, being a good host, and the atmosphere offered within the establishment.

Just because your bar or restaurant is on Walking Street, Beach Road or Second Road, which are classed as high foot traffic areas, does not guarantee you customers and a profitable business. You will also have to pay substantially higher rents in these areas and have far more competition.

Over the years I have sold numerous bars in what would be classified as out of the way areas, yet many have proven track records of profitability. Their success confirms my theory that location is not such an important factor when buying a bar.

Running a business is all about proper management and marketing your business correctly. It is a big mistake to assume that since a business is already established that it will simply promote itself. Even if the business has a solid and steady customer base, you need to establish a comprehensive advertising and marketing plan.

It is also important when buying a business to immediately get to know and build up a rapport with your existing customers.

Many buyers who buy a business direct, and not through a reputable business broker such as TBAC, can come unstuck due to not doing due diligence, especially when it comes to lease agreements or business ownership.

TBAC has built a solid reputation on giving accurate advice and making all the necessary checks when it comes to doing due diligence. We fully explain lease agreements to buyers, including the potential pitfalls within these leases. When a lease is only in Thai we will give a true and accurate translation of the lease in English.

Surprises kill deals because they destroy credibility and trust. This is where TBAC works with both the seller and the buyer to provide full disclosure on all aspects of any business. We also offer on-going customer service to buyers.

Remember: Fall in Love with the profit, not the product or service.

Article courtesy of Sven Neuberg of TBAC

TBAC offers a service with a difference and have always made customer satisfaction its principal aim. If you are looking for an honest, no-nonsense approach to buying a business in Pattaya, contact Sven at TBAC on 087 283 5349.