Does this business actually work?

 

Most people looking to buy a business focus on surface-level numbers.

They see 500k in profit and think, “I’m in.”

But here’s the question you should be asking first:

Does this business actually work?

Not:

Does it make money right now...

But:

Will it still work once you own it?

That's a completely different question.

Here’s why:

Let’s say the team running it now is all 1099 contractors.

But after the acquisition, you have to move them to W2s.

Now you’re on the hook for 15% more in employment taxes—plus workers’ comp, insurance, the whole stack.

That 15% doesn’t come from thin air. It comes straight out of your bottom line.

Multiply that across 10 or 20 employees…

And suddenly the numbers that “looked great” start feeling tight real fast.

This is how to actually evaluate a business, not just read the broker's brochure.

Not just how to find your first or next deal...

You need to know how to structure it, how to protect your downside, and how to avoid the traps most buyers walk right into.