We’ve undertaken an informal survey of 30 Shelter Offshore readers who had previously contacted us with an enquiry related to establishing a business abroad. We wanted to know more about the types of businesses these people planned on buying at the time, what they went on to finally buy, and whether, with the benefit of hindsight, they would have made any significant changes to their decision making process.
With Sky One starting a brand new series this week dedicated to Brits going abroad to buy a business, we thought we’d hear more from those who have already made the move and see if we Brits follow any sort of entrepreneurial pattern in terms of the way we think about starting or running a business overseas.
If you’re back at work following the holidays and you’re actively contemplating making a significant change to your way of life, quitting the 9 – 5 and the commute and going abroad to start a new life, hopefully the following findings will be of interest and direct use to you as you consider your options. You may discover, as a number of our readers did, that your first idea is not necessarily the best idea…but that making the move abroad will be the best move you ever make!
Where Did Most Respondents Want to Buy/Start Businesses Abroad?
The overwhelming majority of readers surveyed planned to move within Europe to start a business, with Spain and France being the top two countries cited. Tourism facing businesses were the most popular choice by far – and the reasons given for this being a fact were 1) to avoid the language barrier and 2) the perceived ease of business development.
When directly questioned about the nature of businesses considered, only 7 respondents admitted that they had researched and considered the viability of a series of business ideas before opting for their final choice.
To us this is striking and slightly concerning!
On the one hand you could say that perhaps Shelter Offshore readers are exceptionally decisive people, alternatively you may like to draw the conclusion that in general most people who consider moving abroad to start or buy a business don’t give it a significant amount of detailed thought!
What Was The Number One Piece of Advice Shelter Offshore Readers Wanted to Share?
We asked every single respondent to think back to the time when they were planning and preparing to move abroad to start or buy their business, and to come up with the most salient piece of advice they wish they’d been given at that time. Paraphrasing the responses we can tell you that above everything else, one solid piece of advice stands out: ‘be prepared to work harder than you have ever worked in your life before!’
The second most commonly given piece of advice by our readers was that the bottom line profitability of a business is not its daily takings. 17 readers all made the point that they wished they’d looked more closely at the genuine viability and profitability of a given opportunity, rather than being ‘seduced’ by the potential daily/monthly takings.
This ties in with the above fact that so few of our respondents really researched the viability of their initial business idea closely. It suggests that had more research been done and more consideration been given, perhaps the business owners would have had a more realistic idea about the profitability of their new ventures – and maybe some would have opted for a different business to buy or run.
However, don’t be too put off by the seeming negativity highlighted in these points raised so far, because we had a 100% positive response when we asked whether our readers were glad that they had made the decision to buy/start their overseas business and move abroad for a new life. Every single respondent made it clear that they did not regret their decision – which bodes exceptionally well for you if you’re now thinking about making this life-changing move.
Which Business Ideas Were Most Popular?
As mentioned above, tourism-facing businesses were the most popular choices with our readers – with property related businesses coming a close second.
16 respondents bought/started a business that appealed or directly targeted the tourism market. Bars, accommodation based businesses (such as bed and breakfast, chalets, campsites), and restaurants/cafes were the number one choice. Secondly estate agency and property management companies followed hot on the heels with our readers doing everything from selling houses to cleaning pools and providing rental management services.
Some more diverse businesses bought/established included a kennels and cattery company, a web based business selling locally sourced craft items and materials, and one lady who set up her own private sector consultancy helping international charities with their local logistical needs in a nation where there is a great deal of NGO activity.
What Advice and Information Can We Share To Help You?
Based on the fairly detailed responses kindly received from many of our respondents it’s very clear to us that those who want to buy or start a business abroad need to do a considerable amount of research and planning before taking the plunge. Whilst your first idea may well prove to be the only idea that makes sense for you, don’t rush ahead and be blinded by your passion and excitement.
Yes, passion and excitement will help to make your business a success, but before you get to the stage of committing to your idea you absolutely have to ensure that it has wings and can fly!
Yesterday we wrote and published our guide to the 10 top aspects and considerations you need to cover and keep in mind if you want to successfully start or buy a business abroad – ‘10 tips to make a success of buying a business abroad’ – and I would strongly urge you to read it. It covers everything that our respondents touched upon and more in a bid to guide you and help you as you think through your options and actively plan for your new life overseas.
Focus is placed upon why you will have to work harder than ever before – but also why that won’t be a problem and why ultimately it is a positive fact. I.e., because you are working only to build something for yourself and your family, you are working for your future success, security and happiness, you are not working to line someone else’s pocket!
Additionally, we touch upon the planning you need to do in advance, and why you have to look at viability and sustainability before expansion - and why you need a financial security blanket to give your business room to breathe and find its feet in its early days.
In Conclusion
Buying or starting a business abroad is an excellent and achievable way for anyone to escape the confines of their currently restrictive 9 – 5 existence. It’s also a way to stop working for someone else and start working for the benefit of yourself and your family’s future.
The decision to go overseas and start working for yourself can bring you immense freedom and satisfaction on many deep and fundamental levels – and if anything, it is a decision that I hope you find encouraged by those around you. However, please plan carefully, think ahead, be realistic and also tread carefully to ensure your overall position is a secure one before you make the move.