How to value a business, and how to buy one
Biz Checkout is a nationwide marketplace, headquartered in Chicago. These guides explain the steps the site actually runs. They do not quote sold-deal counts.
How to value a business
Turn earnings into a range, then see which add-backs a buyer will accept.
- How to value a small business from its earnings
The range is arithmetic. The judgment is which earnings number you trust, and which multiples you are willing to defend.
- Which add-backs belong in a small-business valuation
An add-back is a cost you put back into profit because a buyer would not keep paying it. If you cannot show the cost, leave it out.
How to buy a business
The sequence from a public listing to escrow, and the questions that belong in diligence.
- How to buy a small business, from first look to close
Buying a business is a sequence of documents. Skipping one does not speed it up. It sends you back to the step you skipped.
- Questions to ask before you buy a small business
The listing answers the easy questions. These are the ones that change the price, or end the deal.