Buying a competitor is a very risky move. It can be both a catalyst for your success and an anchor that drags you down. You should buy a company that will either help you expand sales or facilitate production. Buying a company just on the basis that it is profitable, not only will not solve the problem of business development, and even aggravate it, because you have to develop two businesses, not one.
Problems with personnel, the high cost of legal services, a large expenditure of time and attention, the possible losses – this is a big price to pay. Make sure that you get a significant benefit from the purchased firm before you close the deal.
