BizBuySell.com has just released its Miami Beach-FL, Florida business valuation data for First Quarter 2009.
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Miami Beach-FL, FL Q1 2009 Business Valuations
According to statistics issued by BizBuySell.com, Miami Beach-FL 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, Miami Beach-FL, FL 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 Miami Beach-FL company for much less. However, some Miami Beach-FL businesses may be selling for much more.
Another thing to remember is that this is the asking price for a Miami Beach-FL business. When an owner lists a company for sale, they typically set a price that ends up being more than the ultimate sale price. A sale-to-ask ratio typically might be between 0.85 and 0.90, but of course it varies considerably. An owner who wants $275,000 might actually get between $233,750 and $247,500.
Number of Miami Beach-FL 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 Miami Beach-FL, but they are in the area and so are probably representative of Miami Beach-FL business valuations.
One year ago, in , the BizBuySell.com dataset for Miami Beach-FL 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 Miami Beach-FL business-for-sale listings.
Miami Beach-FL, FL 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 area of the country.
In other words, a business that has revenues of $200,000 might list for $0. Keep in mind 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 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 Miami Beach-FL, FL
Cash flow multiples are another popular technique 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. Most businesses will not conform to industry- or area averages.
In case you were wondering what typical cash flows are for a business in Miami Beach-FL, BizBuySell.com reports that the median cash flow for Miami Beach-FL area businesses was $0 in . In , cash flow multiples clocked in at 0.00 and the median cash flow was $0.
Tips for Miami Beach-FL, FL Business Sellers
When selling a business, think about how dependent the business is on you as the business owner. If the business is heavily dependent on your skills and your personal reputation, a buyer will pay less money for it. As such, it's important to make the business less dependent on you as you approach the time when you hope to sell. This advice on how to sell a company comes from Domenic Rinaldi, managing partner of Chicagoland Sunbelt, a leading business brokerage firm.
Business Valuations for Miami Beach-FL, FL 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 additional 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 Miami Beach-FL, FL 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 changing in the Miami Beach-FL area, based on BizBuySell.com's data.
The table below shows how cash flow multiples are trending in the Miami Beach-FL area, based on BizBuySell.com's quarterly reports.
Quarter |
Median Cash
Flow Multiple |
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