What are the possible reasons for buying an existing company as opposed to starting a new business

Question:

What are the possible reasons for buying an existing company as opposed to starting a new business from scratch?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Small Business Management Launching & Growing Entrepreneurial Ventures

ISBN: 978-1133947752

17th edition

Authors: Justin Longenecker, William Petty, Leslie Palich, Frank Hoy

See More Books

Question Posted: Jan 14, 2015 09:29 AM

See More Questions

What are some of the possible reasons for the numerous corporate accounting scandals discovered during 2001 and 2002?
For n = 5, l = 3, what are the possible values of m1 and ms?
What are the possible gains and losses that can occur when an investor short sells a security?
Southern Stitches is a local casual clothing shop that makes a variety of t-shirt styles. Below is some actual vs. budget information for Southern's t-shirts for the month of May. Assume no...
Consider the molecule CH3CH2CH=CHCH3. a. Write a structural formula of the cis isomer. b. Name the molecule from part a. c. Write the condensed structural formula of the major product of the reaction...
Think of a time you felt betrayed by someone or something that happened in your workplace. How did you handle it? Do you carry the sense of betrayal with you, or were you able to resolve it?
How are the placebo effect and the Hawthorne effect similar? How are they different?
Warner Motors's stock is trading at $20 a share. Call options that expire in three months with a strike price of $20 sell for $1.50. Which of the following will occur if the stock price increases...
operating cycle be if it can effectively moke this change? Muniple Choice 206.31 darys 200 ci beys 204 hi dury
A gear-reduction unit uses the countershaft depicted in the figure. Find the two bearing reactions. The bearings are to be angular-contact ball bearings, having a desired life of 50 kh when used at...
Evaluate loss of control as a disadvantage of franchising from the franchisors perspective.
What are some of the non-quantitative factors in valuing a business?
You are evaluating a project that will cost $500,000, but is expected to produce cash flows of $125,000 per year for 10 years, with the first cash flow in one year. Your cost of capital is 11% and...
The break even point of a company is $240 000. They sell their product at a markup of 30% and have variable expenses of 9% of sales. They currently make a profit of $10 500. They plan on reducing...
What kind of messages are young girls and boys receiving about whether their safety in relationships is valued are by their families and communities? Do we emphasize to our children (boys and girls)...
Below are the transactions for Oliver Printing, Incorporated for June, the first month of operations. June 1 Obtain a loan of $ 5 6 , 0 0 0 from the bank by signing a note. June 2 Issue common stock...
Assume an organization must invest $ 7 0 0 , 0 0 0 in fixed costs to produce a product that sells for $ 7 5 and requires $ 4 0 in variable costs to produce one unit. What is the organization s...
hotel delta marriott montreal What do you think is the value and purpose for the hotel brand choosing to make CSR an important part of their overall business strategy? What two recommendations based...
$p$ : Shakira does not sing opera and $q$ : Shakira sings popular music. Answer the following: a. Write the conditional statement $p ightarrow q$ in words. b. Write the converse statement \(q...
If |62x|>9, which of the following is a possible value of x? A. 2 B. 1 C. 0 D. 4 E. 7
Figure 14.11 shows the weekly returns to the U.S. S\&P 500 for the sample period January 1990 to December 2004 (data file $s p$ ). a. Estimate an $\mathrm{ARCH}(1)$ model and check that you...
Why might an owner decide to sell an existing business? Are there any reasons that might be viewed negatively by a potential buyer?
What are some reasons for buying a company as opposed to starting a new venture?
Identify and discuss three of the six nonquantitative factors in valuing a business.
Ventaz Corp manufactures small windows for back yard sheds. Historically, its demand has ranged from 30 to 50 windows per day with an average of 4646. Alex is one of the production workers and he...
Which of the following statements is not true regarding the $500 credit for dependent other than a qualifying child credit. Cannot be claimed on the same tax return if the child tax credit is also...
Grind Co. is considering replacing an existing machine. The new machine is expected to reduce labor costs by $127,000 per year for 5 years. Depreciation on the new machine is $57,000 compared with...

What are the possible reasons for buying an existing company as opposed to starting a new business

Question:

Step by Step Answer:

The entrepreneur wants to start a new business if heshe ...View the full answer

Small Business Management Launching & Growing Entrepreneurial Ventures

Students also viewed these Management Leadership questions