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#128776 - 03/16/07 12:03 AM "Business Only" listings
Trexel Offline
Junior Member

Registered: 02/09/06
Posts: 8
I am newer to commercial real estate will be listing a business for sale soon. What is the best way to determine asking price. I am waiting on the numbers as far as profitability. I thought I would leave the inventory out of the sales price but note that it would be in addition to agreed sales price at closing. I am also having trouble determining what value the name carries. It is a wedding dress and tuxedo business that has been around for 25+ years and has several connections established. How do I add that kind of asset to the value of the business?

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#129338 - 03/18/07 03:49 PM Re: "Business Only" listings [Re: Trexel]
super realtor Offline
Major Contributor

Registered: 05/01/05
Posts: 8391
Loc: georgia
Business Brokerage transaction goes by the numbers/books,profit might look small but then you see they pay a huge portion every year to to the owners retirement fund.Is this the building and assetts or just the assetts of the business?There is a book out there that comes out every year that lists business factors and cost variables for each business.

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#129774 - 03/20/07 11:47 PM Re: "Business Only" listings [Re: super realtor]
Trexel Offline
Junior Member

Registered: 02/09/06
Posts: 8
The listing will not include any building assets. The tough part is that the business has done great historically but has had three slower years in a row. One year was due to the street being repaired/beautified for several months during the busy season and health reasons for the past two years. There is a ton of potential for exceeding any numbers put up by current owner.

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#133348 - 04/06/07 11:27 AM Re: "Business Only" listings [Re: Trexel]
Carla in Colorado Springs Offline
Veteran Member

Registered: 06/08/05
Posts: 899
Loc: Colorado Springs
I would say that the value of the business name would be reflected in the last few years sales. I wouldn't add any to the price just for the name. If the name has value, the books will relect that.
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