Valuations

Business Valuations in Mobile & Pensacola

Do you know what your business is worth? One of the most important steps in selling a business is pricing it correctly. There are several ways to determine what another party would be willing to pay for your business; a formal business valuation is one option. Alternatively, many businesses can be properly priced with a Broker Opinion of Value.

Ultimately, the right approach will depend on the size and complexity of the business, the type of business, and the intended buyers of the business (i.e. individual investor vs. synergistic buyer).

What is your business worth?

The impact of improperly pricing a business can manifest a number of ways and at different points in the transaction. For example:

  • A business owner attempting to sell without the services of a high quality broker may have unrealistic expectations about the value & his/her business, set the asking price too high and soon become frustrated with the lack of viable inquiries s/he receives.
  • A buyer may uncover discrepancies in the inventory value during due diligence, bringing the transaction progress to a halt [if not completely derailing it].
  • A prepared buyer and seller may both become frustrated due to their inability to find a third party lender to help fund the transaction.

Visit the sections below to further enhance your understanding of business valuations: