Every business is unique. Determining its value requires looking at profitability, risk, and market position with care and accuracy.
There are several ways to determine the worth of a business. Each case must be assessed based on its structure, location, and day-to-day operations.
At its core, the main reason a business exists is to generate income. Profitability plays a key role in deciding the price it can attract. But it's rarely that simple.
Our Business Brokers and Valuers begin by reviewing your financials, speaking with you, and examining business documentation. We then evaluate risk factors to help estimate future income and profitability.
From this, we provide a likely price range. The final asking price is set by you, the business owner.
We have assessed businesses ranging in value from $20,000 to $20 million.
Valuing a business should be as accurate as possible. If the asking price is too high, the business is unlikely to sell, wasting time and opportunity.
A good first step is to ask yourself: “Would I pay this for my business?”
Value can be influenced by market conditions, public perception, buyer interest, and many other factors. Crucially, it depends on the buyer's understanding of the business and what they are willing to pay.
The right price is where the buyer and seller agree, without either being pressured to proceed.
Speak with a local BBNA Business Broker to discuss how much your business might be worth. Check the BBN Broker tab for contact details.