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How do I go about selling a very small home-based business?

Cisco asked:

What is the best method to sell a very small home-based business? I think it may be too small to go through a business broker, so not certain what the best way to market or advertise the sale of the business. Also, what is a good way to value a business with very little in assets and no debt. Sales of about $13,500 a year for part-time work from home.

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Posted in Small Business 14 years, 5 months ago at 10:38 am.


2 Replies

  1. I would try the local paper, and Craigslist

    Your valuation should be based on client retention and growth. If you are selling a business that will retain it’s clients without much work then you should value it 1.5-2.5 x annual revenue because with some growth the person who buys it can get their investment back in about 1-2 years and be profitable from then on.

    If your business takes a lot of work to retain clients or if clients just don’t stay that long no matter what you do then you should be happy to get 1.0 x annual revenue.

  2. bizbuysell is a great service to look up the value of your home-based business. They charge a fee to list a business. There is always craigslist if you are looking to list it for free. I would be interested in finding out more! ;-)

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