The advantages of buying a competitor
Discover why you should consider buying at least one of your competitors in this video from the founder of The Dealmaker’s Academy Jonathan Jay. In it, he reveals:
- The advantages of buying a competitor
- How to expand your market virtually overnight by buying a competitor
- How buying a competitor can help you to create a more profitable entity
Prefer to read this? Here’s the transcript:
Hi this is Jonathan Jay from The Dealmaker’s Academy.
Welcome to these top tips videos where I’m sharing with you some of the experiences I’ve had over the last 20 years of buying and selling businesses.
And here is a very, very important tip for you if you currently own a business.
You should be looking at buying at least one of your competitors.
So someone that you compete with.
Now there is a huge advantage to this.
The advantage is, first of all, you remove a competitor from the market place.
A second advantage might be is that they serve the same market place but at different price points.
So you might be premium and they have low price products in that market and by combining the two into one company you can now serve the larger market.
Another advantage of buying your competitor is they probably have similar staff and similar operations to you and by merging your business with theirs and removing all the duplication you now have a far more profitable entity than the two businesses trading separately, so combining them actually makes a far bigger and a more profitable company.
I’ve done it.
I know it works really, really well.
I suggest you look at it as well, so hit the subscribe button, click on that right now.
You’ll get a notification about the next video and I’ll see you next time.