Understanding What Your Company is Worth


owner also owns their building, and they’ve been in it for a long time, it’s often hard to sell the business with the real estate included. That’s because the company may not produce enough cash flow to cover the cost of the appreciated real estate,” Trenier Wiley says. “What I would do then is have the owner retain the real estate and lease it back to the new owner.”

It’s important to know the different methods for calculating your company’s worth. “Depending upon the one chosen, the value of the business can change significantly,” Price says.


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