What is my business worth?

By
Services for Real Estate Pros with VR Business Brokers

Ben, what is my business worth? I get this question 5 times a day. Here are some guidelines.

SDE=Sellers Discretionary Earnings. How much do you make, plus addbacks like milage, meals, entertainment, etc. Don't addback expenses like rent or utilities, as new owner would have to pay that as well.

Salons- 1.7 times SDE plus equipment and inventory. 

Service Business- 1.5 times cash flow.

Liquor stores- 33% of Annual sales plus inventory.  Another methed is 2 times SDE plus inventory.

Publishing Company- 70% of Annual sales. Another method is 4-6 times EBTID.

Do you have a question about the value of your business? Call me for more detailed information. All conversations are completely confidential. Free Valuations. 

CASH FLOW IS KING!                                                           

ben@vrpro.com

(720) 384-5029 Cell

Comments (1)

Fred Griffin Tallahassee Real Estate
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

We invite you back to ActiveRain in the year 2016!

  Much has changed since your last visit.  We would welcome your return.

Jul 27, 2016 09:58 AM

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