Statistics show that 50 percent of new businesses fail within the first year. That number jumps to as high as 95 percent within five years. Knowing this, if you’re currently running a successful business and raking in profits, it has tremendous value. And even though things might be going quite well, this is exactly why selling your business makes sense - even when things are good.

Buyers though are sometimes stumped as to why anyone would sell when business is going smoothly. It’s often viewed as suspicious and even too good to be true. Most potential buyers might agree that there aren’t enough good businesses around worthy of investing in. But when a good one does present itself, countless questions arise to the validity of that sale arise.

As a buyer, it’s important to look a littler deeper into the common reasons why people are willing to hand over a good business that’s performing well. Divorce, health issues, a family death, retirement and even sheer boredom are all valid and ordinary reasons to put a business up for sale. The latter is probably the more common than expected, as entrepreneurs tend to be adventurous, always seeking a new and exciting opportunity. For a person who has never bought or even owned a business, it can be difficult to grasp the concept of moving on to something new, especially when business is profitable.

It’s important for buyers to focus on more pressing matters than why a business is being sold. Revenues, profits, growth potential and ease of transition all weigh more heavily than that one factor. As long as records and documentation confirm that the business is in fact in good health, everything else is more likely to fall into place.

Are you thinking about buying or selling a business? Take the first steps by downloading one or both of our free reports: 7 Questions to Ask Before Buying a Business and 7 Questions to Ask Before Selling Your Business.