Consider a Business Valuation Before Starting Negotiations to Sell Business
|
Getting your Trinity Audio player ready...
|
If you are contemplating the sale of your small business or start-up, then you should consider procuring a valuation of your business before you enter into any negotiations. If you are reluctant to invest in such a valuation, consider this: would you enter into negotiations to sell your most valuable personal asset--which for most would be their house--without knowing what it was worth on the open market in advance? While closing such a deal would theoretically be possible, it certainly makes the negotiation go more smoothly with a better outcome when the value of the house is known in advance, which is why recent comparable sales are typically studied before a sales price is ever set and the house is put on the market. The following article recently published by Forbes provides some additional insight on the issue of the role of business valuation in a business sales negotiation:
