One of the most common questions asked when deciding to buy or sell a company is what it is worth.
Determining a company’s value requires the consideration of multiple factors to make up one all-encompassing number, usually known as the MPSP or most probable selling price. Here, we break down three parts of determining a company’s valuation and what they mean for you. One of the most common questions I’m asked about in my line of work is, “how much is my company worth”?
And the two things clients always seem to focus on and confuse, are goodwill value and blue sky value. Maybe you’ve heard this jargon used before or maybe it’s completely new territory for you. Either way, let’s dive into what these terms are and why they matter to you. |
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