If a business owner is ever pondering whether or not to sell his or her business, or even make another large decision for the company, it is always important to know exactly how much said company is worth. In order to make an intelligent decision, one must know everything about the company one owns. If one has made the decision to sell, the last thing one wants is to end up not getting the company’s full worth. On the other hand, if one’s company is not worth enough money from the get-go, selling might be a difficult and complicated endeavor.

In order to find out the exact value of one’s business, it is always wise to contact a professional. If one would like to determine an accurate estimate of one’s business, however, the following information must be taken into account.

• What Counts: There are a lot of aspects of a company that go into determining its overall value. Knowing what these aspects are is the first step in analyzing a business’s worth. Obviously, the first items one must track are one’s assets. These tangible things are definite determiners of worth; they are certainly not the only ones though. One must also take into account the prospects of one’s industry as well as one’s location. The economy also plays a large factor in determining business worth. As recent years have shown, even the best companies can take huge hits from economic distress.
• Intangibles: In addition to factoring real-life numbers into one’s business worth, one must also factor in things that are not necessarily measurable. In addition to calculating the tangible number of how many employees one has, one must also consider the intangible values of those employees. Are one’s employees intelligent? Loyal? Creative? All of these concepts determine their worth, and therefore the company’s worth in return.
• Other Businesses: In order to successfully determine one’s company value, it is also necessary to take the competition into account. If a business very similar to one’s own pops up nearby, it may be detrimental to one’s company and its value. On the other hand, if one’s business is one of very few of its kind, its worth may be quite large.

Determining one’s company worth is clearly not an easy task. The above are only some of the many things one must consider when determining business value. No matter how accurate one thinks one’s estimate might be, it is always wise to contact a professional to help determine a company’s true value.