Category Archives for "Business Valuation"

This page links below to some of the UK’s most popular and trusted articles on the valuation of businesses.

Our standard advice is that the “free valuations” conducted by business brokers are unreliable as brokers are often motivated to flatter the vendor (you). Accepting that inflated valuation, and taking a business to market at a figure that is not reflective of current market conditions and prices, can cause serious damage to the value of the firm and make it unsellable.

At the same time, nobody wants to sell their business for less than the highest price they can get.

So, how do you arrive at a fair figure? We explain the maths. But we go further and tell you how you can create the conditions and add value to the deal in order to drive buyers to bid higher.

Note: Everything you’ve heard about business valuation is probably wrong. We take a look at common misconceptions, advise on how valuations are not written in stone and demonstrate how you can increase the worth of your business whether you run a one-man show or a large multinational.

Some Truths About Business Valuations – Dispelling The Myths

Dispelling Some Myths About Business Valuation There are many myths surrounding valuation as it relates to small and micro businesses. This post attempts to dispel the more common ones.Businesses are not worth a “multiple of turnover”Business are not worth a “multiple of profit”​There is no such thing as an “accurate valuation” for a businessThe buyer […]

Continue reading

The Problem With “A Business Is Worth Only What Someone Is Willing To Pay”

The Myth: A business is worth only what someone will pay for it The first question raised by business owners looking to sell their business usually revolves around valuation: “What is my business worth?”And the most common answer they get is that a business is only worth what someone is willing to pay for it. […]

Continue reading