How to Buy a Micro-Business Without Getting Screwed
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How to Buy a Micro-Business Without Getting Screwed

Passive income promises lie. Here’s what actually matters when buying a micro-business.

Indiemaker Team

By Indiemaker Team

Buying your first micro-business is like stepping onto a rollercoaster – thrilling, a bit terrifying, but ultimately worth the ride if you know what you’re doing.

If you’ve already dabbled in side projects, good. You've skipped meals, weekends, and maybe sanity to ship tiny products. That’s your training ground. Now let’s talk about how not to get burned.

Know What You Buy, Buy What You Know

The sweet spot is different for everyone.

If you’re a SaaS dev, don’t fall in love with a drop-shipping store because the screenshots are pretty. If you live and breathe SEO, then maybe a content site is your jam.

Whatever your lane is, stay in it. Buying outside your skillset is like adopting a pet tiger because it looked cute in the listing.

Check if It’s Been in an Accident

Any online product can look polished but be a hot mess under the hood. And guess what? Sellers are not obligated to inform you of this.

Case in Point: The Broken Blog Buy

A friend once “bought” a niche recipe blog for $4,000 – solid traffic, decent affiliate revenue, and what looked like a clean WordPress backend.

Two weeks in? Half the traffic came from backlink farms, and the content had been AI-spun to hell. The affiliate links were cloaked and redirected elsewhere.

He spent three months unwinding the mess.

Lesson: pull the hood up, dig into the engine, and sniff for BS.

Ask sellers tough questions:

  • Why are they selling?
  • What would they do next to grow it?

If their answers are vague, assume something stinks.

Due Diligence: No, You Can’t Skip It

You’re not buying a set of golf clubs off Craigslist.

You’re acquiring a functioning system of code, customers, and cash flow.

Here’s what you actually need to vet:

  • Codebase: Clean, documented, updated? Or legacy spaghetti?
  • Traffic: Organic or paid? Sustainable or artificially juiced?
  • Revenue Streams: One product? One affiliate? Or diverse and healthy?
  • Customer Retention: Loyal users? Or churn city?

Red Flags Checklist:

  • ❌ The seller dodges questions about churn or CAC
  • ❌ Traffic spiked last month, but no content changed
  • ❌ Stripe screenshots instead of access to real dashboards
  • ❌ Codebase last updated 18 months ago
  • ❌ The phrase “passive income” shows up in the listing. Twice? Run.

Tools You Should Actually Use:

Valuation: Demand a Justification

Ask the seller what multiple they used and why.

If revenue is dropping and they’re pricing based on the last 12 months? They’re dreaming.

Use what you uncover in diligence to negotiate like an investor on Dragon's Den.

Why Buying a Micro-Business Might Be the Dumbest First Move

Everyone wants to skip the hard part. Buy a business, slap on a new coat of paint, and profit.

But if you haven’t built or run a product before, you’re likely just buying someone else’s headache.

Building teaches you the ops, the marketing, and the product. If you haven’t lived that pain, you won’t see the traps buried inside that “perfect” listing.

Once You're All In, Don’t Flake

Deals don’t wait. Once you've vetted everything and are ready, take action.

Nothing torches your reputation faster than ghosting a seller. If you’ve done your homework and are 100% confident, make an offer and see the deal through.

That’s how you build a name for yourself as a serious buyer.

Bring in Backup When Needed

If it’s your first buy and the price tag makes your palms sweat, get help.

Whether it's legal, tech, or IP transfer checks, a second set of eyes can save you from disaster.

Final Thoughts

Acquiring your first micro-business isn’t just a shortcut. Done right, it's a career move.

But don’t buy the dream – buy the business. Scrutinise everything. Stick to what you understand.

And if something feels off? Walk.

There's always another one.

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