Q2 2009 Business Valuation Data
Business Valuations for Ontario, CA
Here's the latest BizBuySell.com Ontario, California reports on business valuations for Q2 2009.
Q2 2009 Business Valuations in Ontario, CA
Based on statistics prepared by BizBuySell.com, Ontario listings for businesses for sale in Q2 2009 had a median asking price of $225,000.
The median ask price for selling businesses was $275,000 in Q2 2008.
Q2 2009 Revenue Multiples In Ontario, CA
In the Riverside-San Bernardino-Ontario, CA metro area, businesses will on average sell for 0.86 times the selling company's revenues. That was the mean revenue multiple for Q2 2009 in this area of the country.
According to the latest BizBuySell.com data, the median revenue for its listed businesses was $420,000 in Q2 2009.
To put this in perspective, the Q2 2008 revenue multiple was 0.87 and the median revenue for selling businesses was $480,000.
Q2 2009 Cash Flow Multiples In Ontario, CA
Cash flow multiples are a common way to value a business.
For Q2 2009, the average cash flow multiple for listed businesses in the Riverside-San Bernardino-Ontario, CA metro area was 3.14.
BizBuySell.com reports that the median cash flow for Ontario area businesses was $96,570 in Q2 2009. In Q2 2008, cash flow multiples clocked in at 3.32 and the median cash flow was $102,996.
Number of Ontario Businesses for Sale in the Dataset
The study data comprised 571 listings in the Riverside-San Bernardino-Ontario, CA metro area. Many of the businesses in the dataset are outside of Ontario, but they are in the area and so are likely representative of Ontario business valuations.
Considerations When Valuing a Business in Ontario, CA
Using the price-to-equity ratios (P/E) of public companies usually is not a good way to value a small company. That's because owning stock in public companies is much less risky than owning a small business. As such, a buyer of a small business will pay much less when buying a small company than the valuation calculation that is based on a public company P/E ratio. This helpful advice on how to value a business comes from Domenic Rinaldi, managing partner of Sun Acquisitions, a leading business brokerage firm.
Business Valuations for Ontario, CA 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.
Historical Data for Ontario, CA Business Valuations
With respect to local trends in business-for-sale asking prices, here are the median asking prices for businesses for sale in the Riverside-San Bernardino-Ontario, CA metro area for the last 10 quarters.
The chart below shows how median revenue multiples are tracking in the Ontario area, based on BizBuySell.com's data.
The table below provides data on how cash flow multiples are trending in the Ontario area, based on BizBuySell.com's quarterly reports.
Flow Multiple
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