I own 50% of a small business that does around 90,000 in revenue per year. After expenses, it’s closer to 70-75,000 for the total business net income.
If I wanted to sell my half to my partner, what would be a reasonable offer that I should accept?
I own 50% of a small business that does around 90,000 in revenue per year. After expenses, it’s closer to 70-75,000 for the total business net income.
If I wanted to sell my half to my partner, what would be a reasonable offer that I should accept?
You need a good business valuation with 36 months of projections in order to answer this question. Just saying what you do in revenue isn’t enough to make a decision.
You’d also need to analyze draws/payments from the business to determine accurate equity balances.
Do you and your partner earn the same amount from the business or do you put in similar levels of work to obtain that revenue?