September 24, 2020  
 
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Q3 2009 Business Valuation Data

 

 

Sell My Bellevue, WA Business

Every quarter, BizBuySell.com publishes business valuation data, and we now have their latest Bellevue, Washington business-for-sale statistics.

Median Ask Prices for Bellevue, WA Businesses

If you are interested in trends in business-for-sale asking prices, here are the median asking prices for companies in the Seattle-Tacoma-Bellevue, WA metro area for the last 11 quarters.

Quarter

Median Ask

Q1 2007

$179,950

Q2 2007

$180,000

Q3 2007

$190,000

Q4 2007

$198,000

Q1 2008

$225,000

Q2 2008

$244,186

Q3 2008

$250,000

Q4 2008

$250,000

Q1 2009

$249,725

Q2 2009

$225,000

Q3 2009

$225,000

As you can see from the chart above, Bellevue business-for-sale listings in Q3 2009 had a median asking price of $225,000.

That compares to a median ask price of $250,000 in Q3 2008. The lower median asking price in last quarter suggests that Bellevue, WA sellers are dropping their asking prices in light of market conditions. This is making it possible for more business-for-sale transactions to close.

Revenue Multiples for Bellevue, WA Businesses

Here is how median revenue multiples are trending in the Bellevue area, based on BizBuySell.com's data.

Quarter

Revenue Multiple

Q1 2007

0.62

Q2 2007

0.71

Q3 2007

0.81

Q4 2007

0.79

Q1 2008

0.78

Q2 2008

0.76

Q3 2008

0.74

Q4 2008

0.67

Q1 2009

0.73

Q2 2009

0.75

Q3 2009

0.80

In the Seattle-Tacoma-Bellevue, WA metro area, small companies will usually sell for 0.80 times the selling company's revenues. The data from BizBuySell.com indicates that is the mean revenue multiple for Q3 2009 in this area of the country.

In other words, a business that has revenues of $150,000 might list for $119,566. Remember, however, that this is strictly 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 Bellevue business-for-sale listings was $434,411 in Q3 2009.

To put this in perspective, the Q3 2008 revenue multiple was 0.74 and the median revenue for listed Bellevue businesses was $465,264.

Cash Flow Multiples for Bellevue, WA Businesses

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

Quarter

Median Cash
Flow Multiple

Q1 2007

2.94

Q2 2007

3.11

Q3 2007

3.09

Q4 2007

3.14

Q1 2008

3.24

Q2 2008

3.28

Q3 2008

3.28

Q4 2008

3.19

Q1 2009

3.36

Q2 2009

3.14

Q3 2009

3.33

As you probably know, cash flow multiples are another common way to value a business.

For Q3 2009, the average cash flow multiple for listed businesses in the Seattle-Tacoma-Bellevue, WA metro area was 3.33.

So, a business with cash flows of $110,000 might list for $366,376. That calculation is dependent on the business selling for the area's average multiple. Cash flow multiples will usually vary considerably based on many factors.

If you are interested in what cash flows are for a business in Bellevue, BizBuySell.com reports that the median cash flow for Bellevue area businesses was $98,000 in Q3 2009. In Q3 2008, Bellevue cash flow multiples averaged 3.28 and the median cash flow was $103,224.

Number of Bellevue Businesses for Sale in the Dataset

The study data comprised 265 listings in the Seattle-Tacoma-Bellevue, WA metro area. As such, some of the businesses used to derive the median valuation might be outside of Bellevue, but they are in the area and so are likely representative of Bellevue business valuations.

One year ago, in Q3 2008, the BizBuySell.com dataset for Bellevue spanned 339 listings. The downward trend in the number of Bellevue business-for-sale listings is indicative of the current down economy.

Should I Sell My Bellevue, WA Business Now?

As long as you maintain confidentiality while selling a business, there's little harm in putting a business up for sale. Sure, it takes a lot of work, but investing in getting ready to sell now will have a payoff whenever you decide to actually sell. By simply listing a business for sale, and doing it now, you can get a feel for the market. Remember, you can always say no thanks to an offer you don't like. This helpful tip on buying a business comes from Domenic Rinaldi, managing partner of Chicagoland Sunbelt, a leading business brokerage firm.

Business Valuations for Bellevue, WA Businesses

If you are thinking about buying a business or selling a business and would like to get an estimated company valuation, we recommend the BizBuySell.com Business Valuation Tool. Based on your specific criteria, you can modify the company dataset that creates business valuation estimates. Access to the tool is very reasonable -- costing less than $100.

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.

 

 

 

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