20 Feb What’s Your Business Worth?
The following article is from industry veteran Clyth MacLeod. Please note that he refers to the Real Estate Agents Act that is part of New Zealand legislation. Also, please don’t miss “Why Us?” tagged on at the end as it is a great marketing example.
What’s your business worth?
It is worth what someone will pay for it! But the price may be significantly affected by the way it is marketed and who it is marketed by.
Experienced specialist business brokers can provide an owner with a solid indication of most probable selling price. In fact, the Real Estate Agents Act mandates that all licensed brokers must provide an appraisal based on market comparables – and you would not want to risk your business sale to an unlicensed broker.
To assist us professionally we are members of BizStats™, a nationwide database of transaction data from actual business sales around the country as well as records from the 8,000 sales our company has been involved in over the years.
These statistics provide invaluable benchmarks but they need to be considered alongside the value drivers of the industry and of the specific business being appraised. Accurate valuations require the data to be used with care and experience and all opinions of value will contain assumptions and subjective judgements.
Importantly, the price achieved can be impacted by the motivations and negotiating skills of the parties and the marketing of the opportunity by the agent.
Experienced – over 50 years specialising in the sale and valuing of businesses.
Lower fees – we offer value for money with no compromise on service. Compare our fees.
Marketing – FREE marketing includes: 8 Internet sites, print ads, direct mail, ethnic papers, and database marketing.
Networked – with unique relationships with professional advisors and industry associations.
Passionate – Clyth and Glorianne are full-time in the business, love what we do, and are backed by a great team.