58 Percent of Small Business Owners Don't Know How Much Their Business is WorthA 2009 survey by George S. May International of 921 small business owners found that 58 percent of them did not have a formal business valuation prepared within the last year and did not plan to have one done in the future - even though 43 percent plan to sell their business within the next 10 years. |
Do You Know How Much Your Business is Worth?You know more about your business than anyone, but there is one thing you probably don't know - how much it's worth. Most owners have unrealistic expectations based on untapped growth potential, loyal customers, or a long history. The reality is that business value is driven by cash flow. If your cash flow sucks then your business has little value regardless of the wonderful attributes it may poseess. |
Why Every Small Business Owner Should Know the Value of His or Her BusinessOkay, so you don't have a clue what your business is worth - So What. Here are a few reasons why the value of your business is important. 1) Your business is probably your most valuable possession. 2) You are depending on proceeds from the sale of your business to fund at least part of your retirement. 3) You may want to sell your business within the next 10 years. |
When Not to Do Your Own Valuation |
Do Your Own |
