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Tree Care Forums
Arborist 101
Buying an existing tree business any advice?
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<blockquote data-quote="fordf150" data-source="post: 5389431" data-attributes="member: 111181"><p>I read somewhere about business valuations for small business. Can't remember exactly how it went but it was something like this.</p><p></p><p>Fire sale...what can you get out of the assets if you sell them fast/at auction.</p><p></p><p>Asset value....what the equipment and property is worth.</p><p></p><p>Perceived value...Asset value plus revenue/profit...this would be the highest valuation for a company.</p><p></p><p>Don't know much about the tree trimming biz or the value of the equipment used in it but I would say your easily in that perceived value category.</p></blockquote><p></p>
[QUOTE="fordf150, post: 5389431, member: 111181"] I read somewhere about business valuations for small business. Can't remember exactly how it went but it was something like this. Fire sale...what can you get out of the assets if you sell them fast/at auction. Asset value....what the equipment and property is worth. Perceived value...Asset value plus revenue/profit...this would be the highest valuation for a company. Don't know much about the tree trimming biz or the value of the equipment used in it but I would say your easily in that perceived value category. [/QUOTE]
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