Should you buy or start your first business?

Most people think entrepreneurship means starting from scratch.

But there’s another path that’s faster, less risky, and statistically more likely to succeed: buying an existing business.

Here’s my honest breakdown of both options.

Why Buying a Business Works

You’re stepping into revenue from day one.

The business already has customers, operations, employees, and proven profitability.

You’re not guessing whether the model works.

Instead of figuring out if it can make money, it’s your job to maintain what’s working and find ways to improve it.

You also inherit relationships with suppliers, understand what marketing channels work, and have existing systems you can optimize rather than build from scratch.

The downside?

Finding quality deals takes time, analyzing them requires skill you’ll need to learn, and financing typically requires navigating SBA loans or bringing in partners.

(Inside Acquisition Ace, members learn how to find deals, analyze financials, and structure financing with SBA lenders. If you’re serious about acquiring your first business, book a call with our team here.)

Why Starting from Scratch Appeals to People

You have complete control over every decision.

This lets you build exactly what you envision without inheriting anyone else’s systems, culture, or problems.

The barrier to entry is also low.

You can test ideas with minimal capital and iterate quickly based on market feedback.

If your first customer pays more than your startup costs, you’re profitable immediately.

On the flipside…

You start with zero income, zero customers, and zero proof the idea works.

Building a customer base can take months or years of consistent effort, and you’re working full-time (often more) just to get to break-even.

And the statistics are brutal: over 90% of startups fail within five years.

The Numbers Tell the Story

Buying a business that’s been profitable for 5+ years has a 90%+ success rate.

Starting from scratch has a 90%+ failure rate.

That difference comes down to risk: one path has already proven the model works, the other is betting it will.

Which Path is Right for You?

If you need income quickly and want higher odds of success, buying makes more sense.

If you have a specific vision, minimal capital, and time to experiment, starting your own might work.

But make sure you understand the tradeoffs, and the odds of success in each endeavor.

If you want to learn the ins and outs of acquiring your first business in the Acquisition Ace community with 2,000+ other members…

👉 Book a call with my team here.