Purchasing an existing business comes with a lot of perks. For starters, the brand’s name is already established and you don’t have to work on building it up from scratch. Then there’s the aspect of trained employees and a current cash flow. All these benefits add up. 

However, for various reasons, such as a poor credit score or simply don’t have the funds to buy a business, you think your dreams will go down the drain. Think again! This post is for you if you want to know how to buy a business with no money. Let’s dig in.

First things first

As someone who is researching the market for a profitable business for sale, you need to do your due diligence. Even if you plan on selling your newly acquired business in a few years’ time by “flipping” it, you still need to make sure this business runs successfully from before the day you take ownership of it. Therefore, you need to be careful and selective when it comes to choosing the right business to buy with no money. 

Then there’s the actual search for a business for sale. This will require some work and research on your side and you’ll also want to get a good business lawyer in the loop. This is especially the case if you’re thinking about how to buy a franchise with no money.

To find a local business for sale, check out if anyone in your community who runs a business is considering going into retirement. This will involve some fancy footwork and actual stops in shops or stores, which could be your next potential investment. Retirees or potential retirees have put in a lot of effort to get their business off the ground and this means they may let their business go by selling it

And now we come to the crux of things – how can you buy a business without money? Here are some solutions for you to consider.

Financing by the seller

So, what is seller financing? Essentially, it’s an agreement between you and the seller for them to offer you a loan with which you can purchase their business and pay them back over a certain period of time.

Then, related to this is the concept of sweat equity. What this essentially boils down to is the fact that you still get a loan from the seller but you pay it off in bigger installments based on the business’ success, pay higher interest fees, and don’t get paid a profit until a certain threshold is reached. It relies and will heavily depend on the labour that you put in the business. Hence the term.

Getting a silent partner on board

Second up is the option of getting a silent partner or a willing, passive investor on board. This may sound easier than it actually is. It will involve looking for a partner who has the funds to invest in the business but who doesn’t want to take part in its everyday running, all while getting a share of the profit. 

Now, many of us don’t have rich aunts and uncles or even know people with the funds necessary to purchase a business, so this one can be tough. Tough, but not impossible. You can look at online forums and investor conferences to help you find the right person for your business goals and to help you figure out how to buy a company with no money.


These are two ways to answer the question of how to buy an existing business with no money. Whether you choose seller financing or passive investors/silent partners, they will require work, patience, and perseverance. After all, these are criteria that apply to almost any business purchase – whether or not you have the funds available. 

Once you’re ready to buy your business with no money, you may also need to consider getting a loan or financing for the actual running of the business. This is because you’ll have utilities, salaries, and other expenses to cover. 

Although many banks have tightened their grip on who they lend to in the business sense, you can always leverage your equity to get a loan based on the assets of your business.