You have decided that you wanted to buy a business but do not know what questions to ask or what you are looking for.  Here is a partial list of questions that may be helpful when you start to look for a business:

• is this a seasonal business?
• how large is the largest customer?
• what per cent of sales do the top 10 customers make?
• is there any economic dependence on any one or two customers?
• how many suppliers are there?
• is there economic dependence on a supplier?
• are their other companies who can supply the same or similar product?
• what are the hours of operation?
• how involved are the owner of the business?
• how knowledgeable are the staff?
• how long has the staff worked in the company?
• what is the potential cost of severance if you were to terminate an existing employee?
• is this an incorporated or unincorporated business?
• what is the owner selling – shares or assets?
• is the company’s tax filings up to date?
• is the internal accounting records up to date and computerized or manual accounting?
• when was the last time that the company was audited by the tax authorities?
• review the last tax returns of the company
• review the notice of assessment and reassessments
• are there any potential lawsuits?
• how old is the equipment?
• is the equipment in good shape?
• does it need to be replaced?
• how long is the lease?
• is the lease transferable?
• can the business be relocated?
• is there enough space to grow the business?
• does the business have high staff turnover?

These are a few items that you can ask when looking for a business.