Q2 2009 Business Valuation Data

Business Valuations for Davidson, TN

Here's the latest BizBuySell.com Davidson, Tennessee business valuation statistics for Second Quarter 2009.

Q2 2009 Business Valuations in Davidson, TN

According to the latest data compiled by BizBuySell.com, Davidson listings for businesses for sale in Q2 2009 had a median asking price of $350,000.

The median ask price for selling businesses was $299,950 in Q2 2008.

Q2 2009 Revenue Multiples In Davidson, TN

In the Nashville-Davidson--Murfreesboro, TN metro area, businesses will on average sell for 1.01 times the selling company's revenues. That was the mean revenue multiple for Q2 2009 in this metro area.

According to the latest BizBuySell.com data, the median revenue for its listed businesses was $500,000 in Q2 2009.

In terms of trending year over year, the Q2 2008 revenue multiple was 0.95 and the median revenue for selling businesses was $497,675.

Q2 2009 Cash Flow Multiples In Davidson, TN

Cash flow multiples are a common way to value a business.

For Q2 2009, the average cash flow multiple for listed businesses in the Nashville-Davidson--Murfreesboro, TN metro area was 4.03.

BizBuySell.com found that the median cash flow for Davidson area businesses was $114,000 in Q2 2009. In Q2 2008, cash flow multiples clocked in at 4.05 and the median cash flow was $107,500.

Number of Davidson Businesses for Sale in the Dataset

The study data comprised 227 listings in the Nashville-Davidson--Murfreesboro, TN metro area. As such, some of the businesses used to derive the median valuation might be outside of Davidson, but they are in the area and so are probably representative of Davidson business valuations.

Tips for Davidson, TN Business Valuations

The exit sale price for small businesses are frequently based on rules of thumb that are known to buyers. While finance academics may object to this approach, it is still very prevalent because it is an easy way to value a business and buyers often are willing to pay the amounts derived from such rules of thumb. This useful tip for valuing a company comes from Domenic Rinaldi, managing partner of Sun Acquisitions, a leading business brokerage firm.

Business Valuations for Davidson, TN Businesses

If you are contemplating buying a business or selling a business and would like to look at comparables in the area, we suggest you try the BizBuySell.com Business Valuation Tool. You can modify the dataset that creates business valuation estimates to meet your specific criteria. As a bonus, access to the tool is very affordable -- less than $100.

More Information on BizBuySell.com's Quarterly Reports

The BizBuySell Insight Report is a nationally-recognized economic report that tracks trends in the business-for-sale marketplace. If you find these trends interesting, take a moment to visit BizBuySell.com Insights Report for more information.

Historical Data for Davidson, TN Business Valuations

With respect to local trends in business-for-sale asking prices, here are the median asking prices for businesses in the Nashville-Davidson--Murfreesboro, TN metro area for the last 10 quarters.

Quarter
Median Ask
Q1 2007
$280,000
Q2 2007
$275,000
Q3 2007
$290,000
Q4 2007
$299,000
Q1 2008
$280,000
Q2 2008
$299,950
Q3 2008
$322,500
Q4 2008
$315,000
Q1 2009
$330,000
Q2 2009
$350,000

The chart below shows how median revenue multiples are trending in the Davidson area, based on BizBuySell.com's economic data.

Quarter
Revenue Multiple
Q1 2007
1.41
Q2 2007
1.08
Q3 2007
1.09
Q4 2007
1.10
Q1 2008
1.00
Q2 2008
0.95
Q3 2008
0.94
Q4 2008
0.92
Q1 2009
0.93
Q2 2009
1.01

The table below provides data on how cash flow multiples are trending in the Davidson area, based on BizBuySell.com's quarterly reports.

Quarter
Median Cash
Flow Multiple
Q1 2007
4.33
Q2 2007
4.08
Q3 2007
4.07
Q4 2007
4.30
Q1 2008
4.25
Q2 2008
4.05
Q3 2008
4.00
Q4 2008
3.96
Q1 2009
3.96
Q2 2009
4.03

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