Business Valuations

Do You Know How Much Your Business is Worth

If you don't know what your business is worth, you're not alone, 65% of all private business owners do not know the value of their business. Unfortunately, most business owners don't think about what their business is worth until it's too late. The majority of owners don't plan for the sale of their business and as a result they don't take the necessary steps to maximize a return on their years of investment.

Many business owners spend too much time working in their business and not enough time on their business. Frequently, the business is viewed as a vehicle that provides them with an income, while only having vague ideas involving a sale of the business to fund their retirement. For most business owners their business is the single largest asset they have.

Upon retirement, the average business owner in America does not have a funded pension beyond what they have set aside in their own and their spouse's IRA. The majority will have a personal residence that has only recently had the mortgage paid off and less will have a significant unregistered investment portfolio. In many situations the family business will be the most significant financial asset available to provide for the owner's retirement years.

These are questions you should be asking yourself:

Do I really know what my business is worth?

Have I had a professional business valuation prepared recently?

Do I know what factors drive the value of my business?

What should I be doing to prepare the business that will influence the value the shareholders will receive when it's time to retire or sell?

Should I make provisions for the business in my retirement planning?

Did my investment advisor consider the value of my business when determining my portfolio asset mix?

Anthony Wayne Business Exchange can be instrumental in helping you determine the value of your business and ensuring that your business practices are maximizing the value of your business. If you do not know the value of your business, Contact Us to assist you.