We just received the latest Long Beach-CA, California small business valuation trend data for First Quarter 2009.
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Q1 2009 Business Valuations in Long Beach-CA, CA
According to statistics issued by BizBuySell.com, Long Beach-CA 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, Long Beach-CA, CA 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 Long Beach-CA company for much less. However, some Long Beach-CA businesses may be selling for much more.
Another thing to remember is that this is the asking price for a Long Beach-CA business. When a business owner lists a company for sale, they typically set a price that ends up being more than the eventual sale price. A sale-to-ask ratio typically might be between 0.85 and 0.90, but of course it depends on deal specifics. So, a business listed for $100,000 might sell for between $85,000 and $90,000.
Number of Long Beach-CA 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 Long Beach-CA, but they are in the area and so are probably representative of Long Beach-CA business valuations.
One year ago, in , the BizBuySell.com dataset for Long Beach-CA 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 Long Beach-CA business-for-sale listings.
Long Beach-CA, CA Q1 2009 Revenue Multiples
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 firm with revenues of $200,000 might list for $0. Keep in mind 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 Long Beach-CA, CA
Cash flow multiples are another common way to value a business.
For , the average cash flow multiple for businesses listed 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. Cash flow multiples will usually vary considerably based on many factors.
If you are interested in what cash flows are for a business in Long Beach-CA, BizBuySell.com reports that the median cash flow for Long Beach-CA 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 Long Beach-CA, CA
It's critical to keep the potential sale of your business as confidential as possible. If that confidentiality is compromised, you risk losing customers, employees and vendors. Loose lips sink ships...and sink business-for-sale transactions as well! This useful business selling advice comes from Domenic Rinaldi, managing partner of Chicagoland Sunbelt, a leading business brokerage firm.
Business Valuations for Long Beach-CA, CA 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.
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 Long Beach-CA, CA 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 Long Beach-CA area, based on BizBuySell.com's economic data.
Here is how cash flow multiples are trending in the Long Beach-CA area, based on BizBuySell.com's quarterly reports.
Quarter |
Median Cash
Flow Multiple |
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