What Is My Business Worth

What Is My Business Worth

Earnings, Assets, Risk

The value of your business will vary depending on few factors. As a rule of thumb, profitable businesses are valued using the income approach. That is, value is determined by what the business earns, rather than what the business owns, as is used in the asset approach. Numbers are important, but there is much more to it. One of the major concerns of every buyer are not so much the price and terms of the sale, but the risk of assuming the business, which is why the risk assessment of the business is crucial when determining the value. 

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