Business valuation....

Discussion in 'Chit Chat & Introductions' started by griffo75, Nov 5, 2015.

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  1. griffo75

    griffo75 Newcomer
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    Hi,

    Recently joined to get some advice. Have been running a WFP business since 2009 and due to forthcoming relocation am thinking of selling up, wondered if anyone can give me an idea of the value of my round and how I'd go about selling it?

    Based in SW London, last 3 years averaged £37k pa as a one man band. All accounts prepared by accountant.
    Round is "clean" ie all are good largely residential customers. Round is in a tight geographical area- ie limited travel between jobs.

    Hope you can help!
     
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  2. CMRwindowcleaning

    CMRwindowcleaning Active Member
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    Pretty sure rounds go for about 3-4x monthly value! If your in south west London and looking for a sale I might well be interested?!?
     
  3. Taxlossloz

    Taxlossloz Grand Master
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    You need to be clear on the 37 k - is it turnover or net profit before tax
     
  4. steve garwood

    steve garwood ginger lion
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    4 times the value of the round is standard procedure
     
  5. TolishAPurd

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    Sounds like a very good established round, you should be able to get 4 or 5x the monthly round.
     
  6. Taxlossloz

    Taxlossloz Grand Master
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    If it's 37 k profit with van ,equipment , name , contacts Market it well you will get a lot for it - in 6 month someone gets there money back that's a good investment
    I would go down that route then if not sell it to a window cleaner for 5 cleans
     
  7. Eviestevie

    Eviestevie Grand Master
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    Id say you'd get a bit more
    If it's that established and good priced then someone is going to walk straight into a 37k a year job!
    I fink a 25,000 asking price would be very tempting for someone to snap your hand off
    Let's not forget a lot of businesses take years to pay for there selves so still cheap
     
  8. Taxlossloz

    Taxlossloz Grand Master
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    Exactly I would not be thinking 3,4,5 monthly cleans You can even get a marketing company to tart it up and sell it for you
     
  9. Green Pro Clean Ltd

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    I'm not clear on what you are selling.
    Is it just the round or is it the business with all the trimmings?

    Business name, web site, telephone number, emails, vehicles, tools etc?

    Selling a round is one thing selling a turn key business is another altogether.

    Round only established 6 years with three years of accountant books and bank statements to prove it I say at least six months value.

    Entire business at least 12 months plus value of any equipment on top.
     
  10. Green Pro Clean Ltd

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    But also never forget that the value of any item is never more than someone is willing to pay for it.
     
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