We just received the latest Rochester-NY, New York business valuation data for First Quarter 2009.
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Q1 2009 Business Valuations in Rochester-NY, NY
According to statistics issued by BizBuySell.com, Rochester-NY 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, Rochester-NY, NY 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 Rochester-NY company for much less. However, some Rochester-NY businesses may be selling for much more.
Another thing to remember is that this is the asking price for a Rochester-NY business. When a business 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. That means a company listed for $200,000 might be sold for between $170,000 and $180,000.
Number of Rochester-NY 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 Rochester-NY, but they are in the area and so are likely representative of Rochester-NY business valuations.
One year ago, in , the BizBuySell.com dataset for Rochester-NY 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 Rochester-NY business-for-sale listings.
Q1 2009 Revenue Multiples In Rochester-NY, NY
In the metro area, small 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 business that has revenues of $200,000 might list for $0. Remember, however, that this is just an average for revenue multiples in Rochester-NY and surrounding communities. 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 Rochester-NY, NY
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 company with cash flows of $150,000 might have an asking price of $0. That's only if the firm complies with the local average. The actual distribution on revenue multiples for a given set of businesses can be quite wide-ranging.
If you are interested in what cash flows are for a business in Rochester-NY, BizBuySell.com determined that the median cash flow for Rochester-NY area businesses was $0 in . In , cash flow multiples clocked in at 0.00 and the median cash flow was $0.
Tips for Rochester-NY, NY Business Sellers
A diversified customer base is a great selling point to buyers. If you are preparing to sell a business and your customer base is not diversified, think about how you can diversify your customer base and thereby lower the risks for a buyer. By doing so, you can sell a business for a higher price. Ideally, no single customer should account for more than 10% of your revenues. This advice comes from Domenic Rinaldi, managing partner of Chicagoland Sunbelt, a leading business brokerage firm.
Business Valuations for Rochester-NY, NY 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 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 Rochester-NY, NY 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 Rochester-NY area, based on BizBuySell.com's quarterly reports.
Here is how cash flow multiples are trending in the Rochester-NY area, based on BizBuySell.com's quarterly reports.
Quarter |
Median Cash
Flow Multiple |
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