I’m considering buying an existing bookstore. How do I know what it is worth?
We love hearing that an existing bookstore may have a new chapter in its life. One thing we’ve seen time and again is the assumption that since a bookstore has been in business for decades, it must be successful. A word of caution: some sellers believe that they should be compensated for their “sweat equity” when they establish an asking price for the business. You’ll need to review tax records and several other aspects of the business to know whether it stands on its own and would provide you with the livelihood you need. A business valuation will help you assess the store’s strengths and project the financial dynamics under new ownership.