Valuing your Business
Valuing a business can be one of the most worrying parts of buying an existing business.
A business transfer agent, business broker or corporate financier will be best qualified to provide valuation advice.
As part of our investigations,we talk to the vendor and, if possible, the business' existing customers and suppliers. The vendor must be comfortable with us doing this and we must be sensitive to their position. Customer and suppliers may be able to give us information that affects our valuation, as well as information about market conditions affecting the business.
Considerations:
- stock
- location
- assets
- products
- debtors
- creditors
- suppliers
- employees
- premises
- competition
- benchmarking - what other businesses in the sector have sold for
- who else in the sector is for sale or on the market
- the economic climate - will any new government legislation have an impact on the business
Once we have considered all these factors we can advise you on your offer, or whether you want to buy it at all.
If you do decide to make an offer, and agree a price with the seller, a period of time is allowed for you to verify that all of the information you have been told is accurate. This is known as due diligence
Call now on 0800 023 4944 or 01877 330320 for a confidential discussion.
© 2012 Wallace Business Sales Ltd