Read Millionaire Fastlane
I've Read UNSCRIPTED
- May 2, 2017
If it's truly built on your reputation as the owners, then it's worth very little.Is there an exception to MJ DeMarco's method of valuation of a business asset for very small companies like mine that have revenues under 100K? Our main competitor/counterpart in another city (they appeared on shark tank) said that someone could start up a business and do what we do, and that our income is tied too much to us as people, rather than our business system, so we could not sell based on our assets + net income times our industry multiplier. Thoughts?
I can go buy a tax practice, but if the clients really liked the person that's selling, there's zero guarantee they will stay with me. That's why it's common to see an earnout based on client retention.