The excess earnings method of valuing a small business takes both assets and historical earnings into consideration, and is the method prescribed by the IRS for estate and gift tax situations when ... |
Several business valuation methods are based primarily on the market price for similar businesses at a given point in time. Business brokers and mergers and acquisition specialists are more likely to ... |
Theoretically, anyone purchasing a small business is interested only in the business's future. Therefore, a valuation based on the company's expected earnings, discounted back to arrive at their |
Our discussion of business valuation methods assumes that you're attempting to put a value on the entire business in anticipation of sale. But what if you ... |
Once you've decided on the appropriate value for your business, the next step is to find a buyer who can purchase at that price, and, more to the point, who ... |
Potential third-party buyers for your company can come from anywhere — your customers, suppliers, your community or industry competition. Buyers who are unrelated to you and who may be unearthed ... |
So, now that you have a sense of who your potential buyers might be, how do you go about reaching them? Assuming, of course, that you're not going to be ... |
Hopefully, you've been thinking a lot about your priorities, about what you really want to achieve by selling your business. At this point we'll go into some ... |
Although it may seem obvious, you should give some thought to exactly which of your assets will be sold with the company. You may have already removed unproductive or nonessential assets from the ... |
One issue you should examine closely, when you sell your business, is the transferability of your key contracts. |
