Working in M&A I come across a lot of nonsense when it comes to valuation.
Founders, particularly of software companies, tend to put silly valuations on their little babies. They base value on number of lines of code written or how many hours were spent developing it etc. It gets even crazier - I've had them quote numbers based on the multiple that Oracle / Google / Microsoft are worth!
Wanderer has given you a comprehensive answer. Good luck with 'managing your client's expectations'.
Could you please explain this "validation" of which you speak?
Sorry for the delay in replying, Ola. Only just saw this; I didn't get a notification for some reason.
Anyway, there's no shortage of buyers in this market. I know at least half a dozen funded investors looking desperately to make acquisitions in this sector and there are several others who come up on my radar but whom I don't know personally.
Any serious buyer, faced as he is with severe competition, would do well to retain a buy-side broker to do his deal sourcing and actively hunt down targets. I'm not taking on any clients for that kind of work at present but if you are still interested please contact me via the contact page of my website ( http://ukbusinessbrokers.com ) and I'll introduce you to one or two deal originators. I must warn you, they don't come cheap.
There have always been some spam emails that had attachments. But your email client shouldn't be downloading them
I use spambayes. Some find it a bit tricky to set up but it learns as it goes along and sends 99.99% of spam into my "permanent delete" folder... which then gets autodeleted.
Get into advising business owners on business disposals.
The large majority of business owners looking to sell their business end up with dodgy business brokers who fleece them rotten.
Save them going to brokers and provide them some unbiased advice on what their businesses are really worth ...and you'll be making a big improvement to the world.
Moonbeam, thanks for mentioning my site. Yes, I maintain a database of business brokers in the UK (with extensive details on each one).
There are about 25 brokers in the UK who specialise in the selling of accountancy practices and take on no other businesses. And, I can tell you, there's a lot of demand for accountancy practices. I see ads from acquirers / investors about once a day in my various news feeds! I'd advise the OP that they're in a strong position and should negotiate hard.
I've written extensively at various locations about broker fees and fee structures and how to negotiate fees. But I've never mentioned that the brokers who specialise in accountancy practices work a bit differently to the others when it comes to fees as they tend to split their fees between buyer and seller. This is the only sector in which that arrangement seems to work well!
For a business this size, however, it may not be economical to use a broker and it may be worth going independent. Am happy to provide the OP a quick phone consultation on how to go about this. Contact details are on my site, of course.
Yes, but you do know that Posh said we should vote Leave, don't you?
I think it's outrageous that banks can, even on flimsy suspicion, get NCA involved and prevent you accessing your legal funds for however long it takes. Whether six weeks or 31 days or whatever is immaterial. Being locked out for anything more than a few hours can cause some businesses serious difficulties.
On different browsers I use uBlock or Ghostery so didn't notice excessive ads, but the screen real estate is laid out such that everything looks like an ad now. :(