Rules of thumb exist for several types of businesses. They were developed by business brokers over time, based upon actual sales transactions involving businesses in a particular industry. While a rule of thumb can provide buyers and sellers of businesses with an indication of value, it cannot be substituted for a formal valuation method under existing valuation standards. A Certified or Accredited Valuation Analyst should always be consulted when a business valuation is needed in any legal matter.
Should you need business valuation assistance or have questions, please call one of our credentialed professionals at (615) 822-8342 or contact us via email.