As an entrepreneur, you are always making the trade-off between growing your top line or maximizing your bottom line profit. So which is more important when it comes to the value of your company?
The value of your company can be measured by applying a multiple to your earnings. Your multiple is determined by an acquirer and can be driven by a number of elements. One of the biggest swing factors is how large your company is.
At SellabilityScore.com we've been looking at the offers business owners have received for their companies over the last three years. During that time, we've noticed companies with at least $3 million in revenue get offers that are about 25% higher than the average business (which is much smaller)."
Read more at:
Is Growth More Important Than Profits? | Inc.com:
For additional information regarding Florida business sales, acquisitions and valuations, please contact Eric J. Gall at info@buysellflbiz.com or 239.738.6227. Also, visit our Florida Business Exchange website at www.fbxbrokers.com and my personal website at www.buysellflbiz.com.
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