Should I buy an existing online store or start one?

Someone who wants to run an online store can buy one that already sells or build a new one from the first product page. If you have already decided to buy, how to buy an existing ecommerce business is the next read. This page is for the earlier question, and it gives you things to weigh rather than a verdict.

What you inherit if you buy

A store that already sells has a record you can examine: what sold, to whom, and how the orders arrived. It has supplier relationships, customer reviews, an email list and perhaps ad accounts with history in them. Each of those can be an advantage, and each needs checking. Ask what transfers to you and what the seller will keep.

What you also take on

You also take on the store’s weak points. Supplier terms may have been informal. Reviews may reflect problems the seller never solved. Ask your lawyer whether the email list can be used as the seller used it. Ad accounts may have warnings in their past. A buyer is getting the whole story, not only the good parts.

What a clean start gives you

A new store lets you pick the products, suppliers, brand and systems from the beginning, with nothing to untangle. It also means no sales history, no reviews and no customers on day one, so you would build the audience yourself. Think about how much time you have before the store needs to cover its own costs, and how you would find your first buyers.

Questions to ask yourself

• Do I want a record I can study, or a blank page?
• How comfortable am I checking someone else’s records and accounts?
• Which parts of an existing store would I have to rebuild anyway?