We just received the latest Orlando-FL, Florida statistics on business valuations for First Quarter 2009.
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Q1 2009 Business Valuations in Orlando-FL, FL
According to statistics issued by BizBuySell.com, Orlando-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, Orlando-FL, FL 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 Orlando-FL company for much less. Alternatively, some Orlando-FL businesses may be selling for much more.
Also, this is the asking price for a Orlando-FL business. When a company owner lists a business 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 varies considerably. An owner who wants $275,000 might actually get between $233,750 and $247,500.
Number of Orlando-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 Orlando-FL, but they are close by and so are probably representative of Orlando-FL business valuations.
One year ago, in , the BizBuySell.com dataset for Orlando-FL 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 Orlando-FL business-for-sale listings.
Orlando-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 metro area.
In other words, a business that has revenues of $200,000 might list for $0. Keep in mind that this is in fact an average for revenue multiples in the area. Some companies 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 Orlando-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 business 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. In practice, cash flow multiples can vary considerably from one business to another.
If you are interested in what cash flows are for a business in Orlando-FL, BizBuySell.com reports that the median cash flow for Orlando-FL area businesses was $0 in . In , cash flow multiples clocked in at 0.00 and the median cash flow was $0.
Tips for Orlando-FL, FL Business Sellers
When setting a price for a business, it's worthwhile to invest in a professional valuation. If you define the business selling price without a professional valuation, you may end up leaving money on the table or having an unrealistic price that prevents a deal from ever getting done. This helpful tip on buying a business comes from Domenic Rinaldi, managing partner of Chicagoland Sunbelt, a leading business brokerage firm.
Business Valuations for Orlando-FL, FL 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 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 the appropriate contacts at both BizBuySell.com and Chicagoland Sunbelt.
Historical Data for Orlando-FL, FL Business Valuations
If you are interested in trends in business-for-sale asking prices, here are the median asking prices for companies in the metro area for the last 9 quarters.
Here is how median revenue multiples are trending in the Orlando-FL area, based on BizBuySell.com's economic data.
The table below shows how cash flow multiples are trending in the Orlando-FL area, based on BizBuySell.com's quarterly reports.
Quarter |
Median Cash
Flow Multiple |
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