As a business owner, do you know what your most important asset – your business – is really worth? All too often, business owners have to change their retirement plans due to miscalculating the true value of their business. Read on for a true example of what can happen if you make this mistake.

A 62 year-old business owner planned to sell their company and retire in 2008. He planned to sell the business to his son. Based on the accountant’s calculations, he expected the company to be worth $2 million – and in order to enjoy the projected  retirement lifestyle he needed every penny of that.

A business valuation, using the financials, CAPX requirements and market information for that business sector, concluded that the business could only support a sale price less than $1 million. If the owner would have had a realistic picture of what his business was really worth five years ago, perhaps, he could have done things very differently.

Don’t simply guess at what your most important asset is worth. Talk to us  about a business valuation today.

Copyright © 2018 BizValuations. All Rights Reserved