Q1 2009 Costs to Buy a Business

How Much Is My Norfolk-VA Business Worth?

We just received the latest Norfolk-VA, North Carolina small business valuation trend data for First Quarter 2009.

Norfolk-VA, NC Q1 2009 Business Valuations

Based on data compiled by BizBuySell.com, Norfolk-VA 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, Norfolk-VA, NC business valuations appear to be relatively stable.

To be clear, this is the median asking price for a business. If you want to buy a business, you may be able to buy a Norfolk-VA company for much less. Similarly, some Norfolk-VA businesses may be selling for much more.

Another thing to remember is that this is the asking price for a Norfolk-VA business. When a small 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 Norfolk-VA 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 Norfolk-VA, but they are in the area and so are probably representative of Norfolk-VA business valuations.

One year ago, in , the BizBuySell.com dataset for Norfolk-VA 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 Norfolk-VA business-for-sale listings.

Norfolk-VA, NC Q1 2009 Revenue Multiples

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 part of the country.

In other words, a business that has revenues of $200,000 might list for $0. Remember, however, that this is in fact 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 Norfolk-VA, NC

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 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.

If you are interested in what cash flows are for a business in Norfolk-VA, BizBuySell.com found that the median cash flow for Norfolk-VA area businesses was $0 in . In , cash flow multiples clocked in at 0.00 and the median cash flow was $0.

Tips for Norfolk-VA, NC Business Sellers

When selling a business, valuations will be based on your profits. So, be sure to sell a business at a point when your profits are doing well if you want to sell for a great price. This helpful tip comes from Domenic Rinaldi, managing partner of Sun Acquisitions, a leading business brokerage firm.

Business Valuations for Norfolk-VA, NC 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 Norfolk-VA, NC Business Valuations

If you are interested in trends in business-for-sale asking prices, here are the median asking prices for businesses for sale in the metro area for the last 9 quarters.

Here is how median revenue multiples are changing in the Norfolk-VA area, based on BizBuySell.com's quarterly reports.

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