September 26, 2020  
 
  Articles for Entrepreneurs  
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Q3 2009 Business Valuation Data

 

 

Sell My Orlando, FL Business

BizBuySell.com has just released its Orlando, Florida statistics on business valuations for Third Quarter 2009.

Median Ask Prices for Orlando, FL Businesses

If you are interested in trends in business-for-sale asking prices, here are the median asking prices for businesses in the Orlando-Kissimmee, FL metro area for the last 11 quarters.

Quarter

Median Ask

Q1 2007

$180,000

Q2 2007

$175,000

Q3 2007

$185,000

Q4 2007

$190,000

Q1 2008

$190,000

Q2 2008

$195,000

Q3 2008

$199,000

Q4 2008

$199,900

Q1 2009

$194,000

Q2 2009

$199,000

Q3 2009

$195,000

As you can see from the chart above, Orlando business-for-sale listings in Q3 2009 had a median asking price of $195,000.

That compares to a median ask price of $199,000 in Q3 2008. Given that Orlando, FL median business asking prices appear to be dropping, it suggests that selling Orlando businesses may be lowering their prices to make their businesses more attractive to buyers.

Revenue Multiples for Orlando, FL Businesses

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

Quarter

Revenue Multiple

Q1 2007

0.93

Q2 2007

0.82

Q3 2007

0.88

Q4 2007

0.87

Q1 2008

0.86

Q2 2008

0.88

Q3 2008

0.87

Q4 2008

0.84

Q1 2009

0.89

Q2 2009

0.87

Q3 2009

0.89

In the Orlando-Kissimmee, FL metro area, small companies will typically sell for 0.89 times the selling company's revenues. As shown in the chart above, that was 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 $133,970. Remember, however, that this is just an average for revenue multiples in Orlando 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 Orlando business-for-sale listings was $330,000 in Q3 2009.

To put this in perspective, the Q3 2008 revenue multiple was 0.87 and the median revenue for listed Orlando businesses was $337,000.

Cash Flow Multiples for Orlando, FL Businesses

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

Quarter

Median Cash
Flow Multiple

Q1 2007

3.03

Q2 2007

2.79

Q3 2007

3.02

Q4 2007

2.93

Q1 2008

2.98

Q2 2008

2.98

Q3 2008

3.01

Q4 2008

2.97

Q1 2009

3.05

Q2 2009

3.06

Q3 2009

3.07

As you probably know, cash flow multiples are another popular technique to value a business.

For Q3 2009, the average cash flow multiple for listed businesses in the Orlando-Kissimmee, FL metro area was 3.07.

So, a business with cash flows of $110,000 might list for $337,778. 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 Orlando, BizBuySell.com reports that the median cash flow for Orlando area businesses was $82,000 in Q3 2009. In Q3 2008, Orlando cash flow multiples averaged 3.01 and the median cash flow was $88,843.

Number of Orlando Businesses for Sale in the Dataset

The study data comprised 845 listings in the Orlando-Kissimmee, FL metro area. As such, some of the businesses used to derive the median valuation might be outside of Orlando, but they are nearby and so are probably representative of Orlando business valuations.

One year ago, in Q3 2008, the BizBuySell.com dataset for Orlando spanned 1036 listings. In a market where you would think fewer business owners would be selling, it's a bit surprising to see more Orlando business-for-sale listings.

Can I Sell My Orlando, FL Business Now?

Any business can be sold at any time. For example, a recent business-for-sale listing with flat sales over the past two years and slightly fluctuating cash flows was able to get five offers. With the right team helping you to sell a business, you can without a doubt arrive at an attractive business exit for the owner. This helpful business selling tip comes from Domenic Rinaldi, managing partner of Chicagoland Sunbelt, a leading business brokerage firm.

Business Valuations for Orlando, FL Businesses

If you are considering buying a business or selling a business and would like to get an estimated company valuation, we suggest you try 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 more information.

 

 

 

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