We just received the latest Buffalo-NY, New York business valuation data for First Quarter 2009.
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Q1 2009 Business Valuations in Buffalo-NY, NY
According to statistics issued by BizBuySell.com, Buffalo-NY business-for-sale listings in had a median asking price of $0.
That compares to a median ask price of $0 in . In spite of the difficult economy, Buffalo-NY, NY business valuations appear to be relatively stable.
Please understand that this is the median asking price for a business. If you want to buy a business, you may be able to buy a Buffalo-NY company for much less. Alternatively, some Buffalo-NY businesses may be selling for much more.
Another thing to remember is that this is the asking price for a Buffalo-NY business. When an owner lists a business for sale, they typically set a price that ends up being more than the final sale price. A sale-to-ask ratio typically might be between 0.85 and 0.90, but of course it varies considerably. So, a business listed for $100,000 might sell for between $85,000 and $90,000.
Number of Buffalo-NY Businesses for Sale in the Dataset
The study data comprised listings in the metro area. As such, some of the businesses used to derive the median valuation might be outside of Buffalo-NY, but they are in the area and so are probably representative of Buffalo-NY business valuations.
One year ago, in , the BizBuySell.com dataset for Buffalo-NY spanned listings. In a market where you would think fewer business owners would be selling it's a bit surprising to see see the same number of Buffalo-NY business-for-sale listings.
Q1 2009 Revenue Multiples In Buffalo-NY, NY
In the metro area, businesses will typically sell for 0.00 times the selling company's revenues. That was the mean revenue multiple for in this part of the country.
In other words, a business that has revenues of $200,000 might list for $0. Remember, however, that this is just an average for revenue multiples in the area. Some firms will have higher revenue multiples and others will have lower revenue multiples.
According to BizBuySell.com, the median revenues for its business-for-sale listings was $0 in .
To give this some context, the revenue multiple was 0.00 and the median revenue for listed businesses was $0.
Q1 2009 Cash Flow Multiples In Buffalo-NY, NY
Cash flow multiples are another popular technique to value a business.
For , the average cash flow multiple for businesses listed in the metro area was 0.00.
So, a business with cash flows of $150,000 might have an asking price of $0. That's only if the firm complies with the local average. Cash flow multiples will usually vary considerably based on many factors.
If you are interested in what cash flows are for a business in Buffalo-NY, BizBuySell.com determined that the median cash flow for Buffalo-NY area businesses was $0 in . In , cash flow multiples clocked in at 0.00 and the median cash flow was $0.
Things to Consider When Selling a Business in Buffalo-NY, NY
The best time to sell a business is when you don't have to sell the business. If you have to sell under time pressure, you are not likely to get the best sale price. So, don't wait to sell a business until something (e.g. bad health, a divorce, etc.) forces you to sell. This advice on selling a business comes from Domenic Rinaldi, managing partner of Chicagoland Sunbelt, a leading business brokerage firm.
Business Valuations for Buffalo-NY, NY Businesses
If you are contemplating buying a business or selling a business and would like to find out how much a business is worth, 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 published every quarter. If you find these trends interesting, take a moment to visit BizBuySell.com Insights Report for more information.
Members of the media who are interested in writing stories on selling a business, buying a business, valuing a business and other related topics should contact Frank Krolicki of PR firm Walker Sands Communications at 312-546-4127. Frank can facilitate interviews with key executives at both BizBuySell.com and Chicagoland Sunbelt.
Historical Data for Buffalo-NY, NY Business Valuations
If you are interested in trends in business-for-sale asking prices, here are the median asking prices for businesses in the metro area for the last 9 quarters.
Here is how median revenue multiples are tracking in the Buffalo-NY area, based on BizBuySell.com's quarterly reports.
Here is how cash flow multiples are trending in the Buffalo-NY area, based on BizBuySell.com's quarterly reports.
Quarter |
Median Cash
Flow Multiple |
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