CGK Business Sales

Austin Business Brokers | Texas Mergers and Acquisition Experts

  • Austin Business Brokers
  • Business Valuation
  • Buy A Business
  • Selling A Business
  • Blog
    • Business Valuations
      • Sell A Business
      • Business Brokers
      • Mergers and Acquisitions
      • Selling My Business
        • Sell My Business – Austin
        • Business For Sale
        • Small Business Sales
        • How To Sell A Business Austin TX
        • How To Sell A Business
        • How To Sell A Company
        • Brokers And Sellers
        • Business Acquisitions
        • Austin Texas Business Opportunities Travis County
        • Hays County
        • Williamson County
        • Business Brokers Austin TX
        • Business Consulting Austin
        • Business Sales
        • Businesses For Sale By Owner
        • Creating Value
        • How To Sell A Company
        • How To Sell Your Company
        • Sell Businesses
        • Sell Your Business
        • Selling A Company
        • Selling A Small Business
        • Selling Business
        • Selling My Business
        • Selling Your Business
      • If You Use Any Of The Other Austin Business Brokers…
      • Business Broker
        • Find A Business Broker
        • What Is My Business Worth
          • Business Brokers San Antonio
          • Small Business Brokers
          • Austin Business Broker
          • Austin Brokers
          • Business Broker Austin
            • Business Realtor
            • Business Agent
    • Mergers & Acquisitions
      • M&A
        • Business Acquisition
        • M & A
        • Merger And Acquisition
        • Company Acquisition
        • Austin Mergers And Acquisitions
          • Small Business For Sale
          • Small Business Opportunities
          • Small Business Opportunity
            • Due Diligence Checklist
          • Businesses For Sale
            • Texas Business For Sale
            • Buying An Austin Business
            • Austin Business For Sale
            • Businesses For Sale in Austin
            • Local Businesses For Sale
            • Franchises For Sale
            • Franchise For Sale
            • Franchises
            • Companies For Sale
            • Businesses Austin
            • Businesses For Sale in Austin TX
            • Business For Sale Austin TX
            • Business For Sale San Antonio
            • Business Opportunity
            • Business Opportunity
            • Business Opportunities
            • Franchise Opportunities
            • Business For Sale in TX
            • Buying An Austin Business
            • Businesses For Sale in Austin TX
            • Constant Contact Archive
            • Axial Markets
            • Seeking Alpha
            • Austin Chamber of Commerce
            • businessbroker.net
            • Better Business Bureau
  • Team
  • Contact Us
Home » How To Sell A Company

How To Sell A Company

Many business sellers want to know how to sell a company.  This process is not easy.  It takes many years of experience to navigate.  First, there is the business valuation.  Next are the service providers, including the lawyers, certified public accountants, and consultants.  Are of these aspects must be satisfied before a sale can happen.  Companies are generally worth two to four times what their cash flow to the owner is.  This cash flow can be littered with personal items and is sometimes called seller’s discretionary earnings.  This is usually EBITDA, plus what the seller pays themselves, plus other one-time expenses or personal items that are run through the business.  Consult your local business broker in Austin, TX for more information.

Many companies typically fetch two to three times what the owner pays themselves.  So, if a business generated one hundred thousand in pre-tax, pre-debt earnings, the business would typically sell for two to three hundred thousand dollars.  This isn’t always the case.  In extraordinary circumstances, a business might sell for only one times earnings or even four times earnings.  There could be instances where the owner is a sole proprietor and has no employees.  This business might typically only fetch one to two times earnings.  On the other hand, a business where the owner does not work in the business but the business is growing extraordinarily fast, might have a shot at a four multiple.  This would also depend on the absolute value of the earnings, meaning the level of earnings.  Since there are so many factors that go into a business valuation, it is best to consult with a business broker to be sure.  If you want to know how to sell a company, call CGK Business Sales for a free initial consultation.

[contact_form]

Share this:

  • Email
  • Print
  • Twitter
  • Pinterest
  • Facebook
  • Facebook
  • Google+
  • Twitter

RSS Business News from Entrepreneur

  • Why we should bet on technology on Earth Day
    The pandemic has not only inherited changes to our lifestyle, but it has also provided a respite for the planet.
  • What are the main mistakes when recruiting new collaborators? Here we tell you
    Take note and make no mistake when hiring the new member of your team.
  • People Complain 15-20 Times A Day: 5 Ideas To Quit
    If you live permanently in this state, you are going to suffer it, because not only do you not advance or solve problems, but it is a boomerang that turns against you.
  • Challenges and opportunities for entrepreneurs during the pandemic
    In the first five weeks of confinement, society and economies were digitized more than in the previous five years
  • Top Fintech Stocks To Buy Right Now? 4 To Watch During The Crypto Boom
    Here are four trending fintech stocks to watch right now.
  • 7 Ways to Make an Unforgettable Business Name
    Want people to remember your business's name? These seven strategies can help.
  • 10 Steps for Creating an Effective Content Marketing Campaign
    Content marketing isn't hard. Follow these 10 steps to do it right.
  • If You Want to Improve Employee Satisfaction, Try This Controversial Practice
    Sometimes employees need to find other opportunities to reach contentment.
  • Leadership Lessons From a Retired Indian Army Brigadier
    How to lead from the front without turning into a demanding drill sergeant.
  • Top Stocks To Buy Now? 4 Consumer Stocks To Consider
    As consumer spending continues to rise, these consumer stocks could be worth watching.

Contact Us

CGK Business Sales

401 Congress Ave

Austin, TX 78701

phone: (512) 900-3770

website: https://businessbrokersaustin.com

Copyright © 2021 · Enterprise Pro Theme on Genesis Framework · WordPress · Log in

loading Cancel
Post was not sent - check your email addresses!
Email check failed, please try again
Sorry, your blog cannot share posts by email.