As a business owner, we care about one number: the value of our business. If someone were to ask you to name your number for your business, what would your number be? Would it be something realistic?
This is an important question business owners need to ask themselves because it forces the owner to find where the value in their company resides. If they are solely responsible for the profit in their business, they need to shift to being an active investor rather than an employee in their own business.
I have created a crude tool to help business owners determine a rough value of their business. Use the Business Value Calculator to determine the value of your business.
Launch the Calculator
The Business Godfather is here to help you build a more valuable business. So I ask you to look at your business and identify if you are an owner-operator in your business or an active-investor. Be honest. The value of your company rides on your answer.
For a quick calculation, use the Business Godfather Business Value Calculator to give you a rough estimate of what your business is worth. If you’d like to increase your number, shoot me an email.
Business is hard. That’s why you need a Business Godfather.
Don’t worry … dumb looks are STILL FREE!!!
If you are like most business owners you have no idea your business worth. Even worse you probably have no idea what your business could be worth.
Sometimes business owners have a vague, puffy white cloud idea of what their business might be worth but that is usually based on hopes and dreams rather than on any reality of what someone would actually pay you or finance you for.
This is why I put together the Business Godfather Business Value Calculator to give you a rough estimate of your business worth. This tool will give you a rough estimate of the value of your business today. The great thing about the calculator if you love the number it produces you can probably take some of the money to (or from) the bank. The great thing about the calculator if you don’t like the number, is there is something you can do about it. In fact, you have more control over the value of your business than just about any other aspect of your business.
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I am always talking about helping to build more valuable businesses. But to do that, we first need to know how valuable our business is RIGHT NOW. We need to understand where the value in our business is so we can figure out how to tweak our efforts or adjust our business model so we can add the most wealth to our bottom line. I created this simple business value calculator tool. It is 3 steps and should take just a few minutes to complete.
Step 1: Background Information
Step 2: Your Financials – Annual Revenue, Profit, percentages of profit derived from the activities of either a product, service from the owner, service from another person, and profit from an asset.
Step 3: What do you think your company is worth?
Hit submit and it will calculate the value of your business. It’s important to realize that this is just a crude value and an exercise to point out the underlying philosophy behind the Business Godfather.
I also recorded a podcast with Borderline Media Company’s Scott Schafer where I explain how to use the business value calculator and the purpose of this exercise. Click the links below to launch the calculator or listen to the podcast.