Market Value Study

We briefly introduced the concept of our Market Value Study in the Our Process section of this website.  But since so few business owners have a firm grasp on the current market value of their businesses, we decided to dedicate a page exclusively to the Market Value Study.

Business market value ebbs and flows based on a variety of factors.  Some of those factors include:

  • The condition of the Global, US, and Local economies
  • The current and projected health of the business owner’s industry
  • The current and projected health of the industries served by the business
  • The revenue and profit trends of the business
  • The growth opportunities of the business
  • The quality of the key employees associated with the business
  • The owner’s willingness to remain onboard during an extended transition period (2-3 years)
  • The owner’s willingness to owner finance a portion of the deal

Broadstreet’s Market Value Study will bring to light the factors that contribute to and detract from market value for the specific business in question.  We will calculate EBITDA (otherwise known as operating cash flows) and determine the range of EBITDA multiples of similar companies that have sold in the recent past.  The Study will reveal ways in which the business owner can enhance and maximize business value.  The Market Value Study will reveal, within a tight range, the Market Value of the business at that point in time.

Whether selling is the immediate goal, every business owner should have a firm grasp of the factors that determine the value of their business as well as the current market value.  We invite you to contact us today for a no cost, no obligation consultation to determine whether the Market Value Study is an appropriate step to take.