Q1 2009 Business Valuations in Indianapolis-IN, IN

According to statistics issued by BizBuySell.com, Indianapolis-IN business-for-sale listings in had a median asking price of $0.

That compares to a median ask price of $0 in . Indianapolis-IN, IN business values are showing stability even in this tough economic environment.

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 Indianapolis-IN company for much less. Similarly, some Indianapolis-IN businesses may be selling for much more.

Another thing to remember is that this is the asking price for a Indianapolis-IN business. When a business owner lists a business for sale, they typically set a price that ends up being more than the contracted 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 Indianapolis-IN Businesses for Sale in the Dataset

The study data comprised listings in the metro area. Many of the businesses in the dataset are outside of Indianapolis-IN, but they are in the area and so are probably representative of Indianapolis-IN business valuations.

One year ago, in , the BizBuySell.com dataset for Indianapolis-IN spanned listings. In a market where you would think fewer business owners would be selling, it's a bit surprising to see the same number of Indianapolis-IN business-for-sale listings.

Q1 2009 Revenue Multiples In Indianapolis-IN, IN

In the metro area, businesses will usually sell for 0.00 times the selling company's revenues. That was the mean revenue multiple for in this area of the country.

In other words, a business that has revenues of $200,000 might list for $0. Remember, however, that this is only 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 put this in perspective, the revenue multiple was 0.00 and the median revenue for listed businesses was $0.

Q1 2009 Cash Flow Multiples In Indianapolis-IN, IN

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

For , the average cash flow multiple for listed businesses in the metro area was 0.00.

So, a firm with cash flows of $150,000 might have an asking price of $0. That's only if the firm complies with the local average. Actual cash flow multiples are based on business specifics.

In case you were wondering what typical cash flows are for a business in Indianapolis-IN, BizBuySell.com reports that the median cash flow for Indianapolis-IN 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 Indianapolis-IN, IN

Selling a business can be a full-time job in and of itself. If you sell on your own, without assistance from a business broker, you may be distracted from running the business, which can result in a deterioriation in business results and a lower sale price. This helpful advice was provided by Domenic Rinaldi, managing partner of Chicagoland Sunbelt, a leading business brokerage firm.

Business Valuations for Indianapolis-IN, IN 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 looking for subject matter experts 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 Indianapolis-IN, IN 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 trending in the Indianapolis-IN area, based on BizBuySell.com's economic data.

The table below shows how cash flow multiples are trending in the Indianapolis-IN area, based on BizBuySell.com's quarterly reports.