The ins and outs of valuing a privately held business

Description

Abstract: You may think you have a fairly good idea of how much your company is worth. But formally appraising a privately held business goes far beyond guesswork. In fact, it’s a fairly complex process that involves using professionally accepted methods to arrive at a well-reasoned and defensible estimate of value. This article explains the three most commonly used methods for valuing a privately held business. A sidebar discusses how to increase your business’s worth through a “unique selling proposition.”