Choosing to purchase an existing business provides you with the advantages of a ready-made client base, an audited income, existing buildings and infrastructure. 

The disadvantages of buying an existing business are the payment for the ‘goodwill' and possibly buildings that are past their useful working life. 

Goodwill is a negotiable sum and relates to the popularity of an established business, which is treated as a saleable asset.  This varies from business to business and can be a substantial amount.

Some of the questions that you need to ask and satisfy yourself that this is the correct establishment to purchase are:

Location - is the location right for my needs?

Existing Licence - is the licence adequate?  Does it have any spare capacity for any future expansion?  Future Licensing - Will the licence be renewed without extra costs or conditions to bring the buildings up to the local authority and your own required standard?

Expansion - is the site suitable for expansion and development?  Will the local planning authority allow any further expansion?

Carparking - is there sufficient for customers, staff, delivery vehicles, etc?

Existing Accommodation - are the existing animal accommodation and associated buildings suitable for your requirements?

Infrastructure - is the infrastructure adequate for the current demands being imposed on it (eg electricity, gas, water supply and drainage)?  Is there any spare capacity for expansion?  All of these areas are the lifeblood of the premises; without them daily activities can be made extremely difficult.

Drainage - does the drainage system work correctly?  Drainage is a major area of concern to kennel owners.

Complaints - have there been any complaints to, or any restrictions imposed by the local authority regarding noise, opening times, vehicular/foot traffic, pollution, etc?

Residential Accommodation - does the site have the right amount of residential accommodation?  Is there suitable space available to construct accommodation if required?  Will the local authority permit this?

Access - Can the access be maintained all year?  Does the land suffer from flooding, making part of the property unusable during the winter months?

Planning and Zoning - do all of the building have planning consent?

Some of the most informative details can be obtained about an existing property by spending time watching the staff go about their daily routine.  What might be a minor irritation to them in terms of building design and layout could prove to be unworkable for you.  Generally there are very few kennels available for sale that do not require additional works to bring them up the required standard. 

This should be remembered when negotiating the purchase price and used in your favour.

Kennel Design: The Essential Guide to creating your perfect kennels by David Key