West Coast
New member
hi every body! I want to sale my business, how I know the price of my business? thanks in advance. :bow
I need sale my business!
- Thread starter West Coast
- Start date
C. Charles Hahn
CCH Auto Appearance, LLC
Do you have a CPA?
GearHead_1
Long Time Member
Do you have a contractual customer base? Unfortunately, if not and you happen to be a mobile detailer. Your business is worth exactly the price you can get for your equipment. If you have a brick and mortar location it's an entirely different story.
Addicted2Bling
New member
I agree, clientel means doink when you sell a business because the customers are used to dealing with 1 detailer, and when you go in there and try to be like the old detailer they aren't going to be very happy campers.
TroyScherer
Ummm.... Ya.....
I'll give you $1.00... :rofl
First I don't know how a car detailing business is valued because there are too many unstable variables but usually a service firm can fall between 5 to even 10 times EBITA.
When selling off a firm I would look at value of operation and give it a value based on discounted cash flow and the terminal value(in your case your equipment). What are your cash flows like, how big is your book of business? How long have you been in business?
Most importantly why are you selling?
When selling off a firm I would look at value of operation and give it a value based on discounted cash flow and the terminal value(in your case your equipment). What are your cash flows like, how big is your book of business? How long have you been in business?
Most importantly why are you selling?
Old Pirate
AMG Classic Car Detailing
Best answer IMO.
Tex Star Detail
Formerly TexasTB
I agree as well with GH. It's impossible for any of the forum member to even know remotely what your business is worth. You can have a bucket, wash cloth, towel, and dish soap. Then your business isn't worth anything. If you have a full blown setup, steamer, extractor, van/trailer/truck, 100s in chemicals/rags/polishes/etc.....then your business is worth more, naturally.
Your business is worth what you think it's worth, your net income, area, clients, and so on will play a part in it. So asses your business and then figure it out? Then you can SELL your business/equipment.
Your business is worth what you think it's worth, your net income, area, clients, and so on will play a part in it. So asses your business and then figure it out? Then you can SELL your business/equipment.
West Coast
New member
Thanks every body for the answers, the truth is I'm divorcing & I need to pay to my ex half of what the business worth, is a mobile detailing, just part time 3 days a week, I make like $800 a month, price for equipment maybe $1800, What you guys think? Her lawyer said around $10,000.00,. and I said that is too much. thanks for the help...
Must be her lawyer. Give her the 1,800 dollars in equipment and get 10 grand from her.
C. Charles Hahn
CCH Auto Appearance, LLC
:bigups If he's that bad at valuation, give her the entire business and rake in the profit. For once it won't be the man that gets screwed in a divorce settlement.
Todd@RUPES
Just a regular guy
My ex tried the same. You offer a service based business in which you provide the service. The business has very little equity. Figure out what half of your equipment is worth (used/current market value) and that's what her buy out is.
Close the business (open a new one at a later date) and if she wants more she will gave to go for alimony.
Beemerboy
Just One More Coat
Not one to criticize grammar on any forum, but you want to "sell" your business not "sale" it. Good luck in dealing with the lawyers, it's never any fun.
C. Charles Hahn
CCH Auto Appearance, LLC
I don't think he's a native English speaker, Dave.... :inspector:
Beemerboy
Just One More Coat
ca.detailchick
New member
I have no idea what your business is worth but having to sell your business and giving her half just seems wrong.
If your still on speaking terms try to talk about it with her and see if she will let it go.
If not go after her jewelry and shoes and tell her you want half!
Good luck and sorry your going through that!
Swanicyouth
New member
Oh man, its so nice to be unmarried and live alone. Give her whatever it takes to get rid of her. It will be worth it.
C. Charles Hahn
CCH Auto Appearance, LLC
Also, let this be a lesson to those of you/us who are not married.... get your spouse to sign a prenup that explicitly waives her claim to the assets of your business in the event of a divorce.
Tex Star Detail
Formerly TexasTB
My EX let me have my business in the divorce, as long as she got the DYSON house vacuum. NO LIE, it's in my divorce papers. LOL
aray
New member
$1800 in assets
No real long term guaranteed contracts
No employees, or employee agreements
If you were to leave the business, I'm guessing revenue would be zero, and the customers would go with you.
What would a reasonable investor pay for that? A valuation has to be the 'here and now' value of the business, and doesn't really include YOU.
The fact that you've made $800 a month is due to the fact you probably bust your ass and do a good job. It's based on your labor. It's not a detailing empire with 20 trucks, buildings, huge contracts, and superior processes that runs on its own.
An investor would look at it and say, what would it cost me to assemble a client list and $1800 worth of equipment, and then he'd want a discount factored in. Maybe $2500 max? That's the value in the real world, if you could even find someone to buy it.
Trying to use large company valuation theories like X times revenue doesn't work when it's a one person company, and really a side JOB more than a business.
If she thinks its worth $10k, dissolve it, give her half the equipment and start a new business the next day. OR tell her she can have it all, and ask them to make it up to you with $5k of other marital assets. (Like cash...)
Good luck!