How Do I Valuate My Business?

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To valuate a business, contact a business broker who can run detailed numbers, but generally business are worth from one and a half to three times its annual income. Understand business valuation with advice from a business owner in this free video on business.

Part of the Video Series: Business Management
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Video Transcript

Hi, my name is John Niemira and I'm just here on the campus in Salt Lake City at the Steven Henager College and I want to talk to you today about valuating your business. A couple different ways to go about valuating a business. The industry norm is from one and a half to three times the annual income of your business, depending what industry you are in. That's just a general framework for valuating your business. Contact a business broker. They are experts in the field. They sell businesses all the time. They can go over some numbers with you, they can tell you what is a going rate for your type of business in your industry. They can talk to you about how you can sell your business and even help you sell your business. And then get on-line and do some research on other business's in your area and what are they selling for in that industry, of course. What's the value? What are they doing for annuals per year? For any more information on this topic, or any other business topic, you can contact me directly at my e-mail: j n i e m i r a at


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