Comments on: Is it a good idea to buy an existing business? http://blog.bizcloud.net/2009/11/is-it-a-good-idea-to-buy-an-existing-business/ online business promotion, tips and adice for small business owners, starting a business, news from the small business industry Fri, 12 Mar 2010 11:37:22 +0000 http://wordpress.org/?v=2.9.1 hourly 1 By: Vahid Razavihttp://blog.bizcloud.net/2009/11/is-it-a-good-idea-to-buy-an-existing-business/#comment-419 Vahid Razavi Mon, 30 Nov 2009 02:27:53 +0000 http://blog.bizcloud.net/?p=774#comment-419 In the case of most small business owners like a car wash or IT Consulting firm your are looking at 1 to 1.5 times annual earning. For example if your technology consulting organization brings in 2 million in annual revenue you can expect business valuation similar to your annual earnings. I would suggest leveraging local business brokers and experts on bizcloud site to help you find the right opportunity. In the case of most small business owners like a car wash or IT Consulting firm your are looking at 1 to 1.5 times annual earning. For example if your technology consulting organization brings in 2 million in annual revenue you can expect business valuation similar to your annual earnings. I would suggest leveraging local business brokers and experts on bizcloud site to help you find the right opportunity.

]]> By: Puru Guptahttp://blog.bizcloud.net/2009/11/is-it-a-good-idea-to-buy-an-existing-business/#comment-415 Puru Gupta Sun, 29 Nov 2009 14:03:21 +0000 http://blog.bizcloud.net/?p=774#comment-415 Hi Jovana,Thanks for the article. Just wanted to know if one should take PE ratio of <30 as the rule of thumb? Is this a benchmark for any specific industry?Regards Puru Hi Jovana,

Thanks for the article. Just wanted to know if one should take PE ratio of <30 as the rule of thumb? Is this a benchmark for any specific industry?

Regards
Puru

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