What's your business worth?

Posted by Ann D. at 6/17/2009 6:30 AM CDT

What’s your business worth?

It may sound like a simple question, but it can be tough to answer, especially in an economy like this one.

You can figure out the value of your business with the help of a consultant or, if you're the do-it-yourself type, you can do it online.

A recent poll of 921 U.S. small business owners found that 58% have not had a formal business valuation performed in within the past year and do not plan on having one done in the future. Normally, a business valuation has a shelf life of two to three years, but given the turbulent state of the economy, a business’s value can change in a shorter span of time nowadays.

The survey was conducted by George S. May International Co., a Park Ridge-based management consultancy that happens to perform business valuations, so it’s no surprise that they’re interested in measuring how many clients or potential clients might need or want to do a valuation. Even so, there are any number of consultants who can provide such services, and if you’re thinking about selling your business or handing it down to your children, it can be helpful to get an up-to-date reading on what your business might actually be worth now.

If you'd prefer to go the do-it-yourself route, you can try a software system that will help you get a handle on the value of your business. It's called BizEquity. Tim Berry, a small business blogger, calls it "the Zillow of small business valuation."

BizEquity's creators recently added some new features, and Mr. Berry took the updated version out for a test drive. He loaded in some data on a hypothetical Internet business with sales in the range of $350,000, no profit and a little bit of debt.

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We are the official Rogers Park Chamber of Commerce, and we are here to help you grow your business, and add new businesses to our neighborhood...to make it as successful a neighborhood as it once was.

If it was ever a time for change, that time is now. We will be giving you info on how to make money, save money, and allow you to achieve a better customer base. We are committed to building a better Rogers Park through UNITY in the community.

For more info, please visit our new website: www.rogerspark.cc or contact us at: rogersparkchamberofcommerce@gmail.com