Q1 2009 Business Valuations in Orange County-CA, CA

Based on data compiled by BizBuySell.com, Orange County-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, Orange County-CA, CA 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 Orange County-CA company for much less. Similarly, some Orange County-CA businesses may be selling for much more.

Also, this is the asking price for a Orange County-CA business. When a business owner lists a company 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 depends on deal specifics. Given this industry statistic, if a small business owner were to list a company for $300,000, it might sell for between $255,000 and $270,000.

Number of Orange County-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 Orange County-CA, but they are in the area and so are probably representative of Orange County-CA business valuations.

One year ago, in , the BizBuySell.com dataset for Orange County-CA 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 Orange County-CA business-for-sale listings.

Orange County-CA, CA Q1 2009 Revenue Multiples

In the metro area, businesses will typically sell for 0.00 times the selling company's revenues. This 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 only an average for revenue multiples in the area. Some small businesses 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 Orange County-CA, CA

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 calculation is dependent on the business selling for the area's average multiple. Actual cash flow multiples are based on business specifics.

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

If you are contemplating buying a business or selling a business and would like to get an estimated business valuation, 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 additional 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 Orange County-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 moving in the Orange County-CA area, based on BizBuySell.com's quarterly reports.

Here is how cash flow multiples are trending in the Orange County-CA area, based on BizBuySell.com's quarterly reports.