Our client needed a valuation for the sale of a pharmacy business. A valuation is crucial to determine a reasonable purchase price range for a business. Several methods had to be used to arrive at a valuation, including Enterprise Value, VC Method, Discounted Cash Flow Method, and the Multiples Methods (adjusted specifically for pharmacies). Then an average was taken from the calculated values to arrive at a valuation.

Starting a brand new business is not the only entry into entrepreneurship. Purchasing an existing business is another viable method of entrepreneurship.

No matter what business you are considering, contact Your Startup Guru to know that you’re getting a reasonable price for the company.