GAPFIX RR NYC broker 2026-09-26
Business valuation basics
Valuation methods (income, market, asset) are tools — not a promise of sale price. Hire qualified professionals for decisions that affect taxes, financing, or legal disputes. No rates, phones, or rankings invented on this page. NAP: OWNER_BLOCKED. Email: info@businessbrokeradvice.com.
Three common approaches (simplified)
- Income approach — value tied to expected cash flows (sometimes via capitalization or discounted cash flow). Sensitive to growth, risk, and normalization of earnings.
- Market approach — compare to transactions or multiples for similar businesses. Comparables are rarely perfect; adjust carefully and document assumptions.
- Asset approach — more relevant when assets drive value or earnings are weak; net assets are a floor discussion, not always the deal price.
Brokers and advisors may discuss “seller discretionary earnings” or EBITDA multiples as conversation starters. Those discussions are not certified appraisals.
Inputs buyers usually request
- Historical financials and tax returns
- Customer concentration and retention
- Recurring revenue quality vs one-time spikes
- Owner dependency and key-person risk
- Working capital norms and CapEx needs
- For franchise/hospitality/restaurant: transfer rules, leases, and brand constraints — see industry hub
Price vs terms
Two offers with the same headline price can differ sharply once you weigh cash at close, earnouts, seller notes, escrow holdbacks, and contingencies. Evaluate structure alongside valuation chatter. Process context: how to sell a business and sale advisors & brokers.