Ask Entrepreneur

How does one calucate the price of business whose space just lost its lease?

I am a massage therapist. A friend has offered to sell me her private practice when she moves out of state in 10 weeks. Between now and then, she will need to relocate her practice space, due to a lease ending. How would one calculate a price?
There are multiple factors to be considered when evaluating the value of a business to buy or sell. Areas to be considered include profitability, assets and loans you will be acquiring, client list, established name and reputation in the community, etc. I would recommend you work closely with a business accountant.

Share Your Thoughts

Today's Editor's Picks

About ASK ENTREPRENEUR

Ask Entrepreneur is a question-and-answer forum for and by the Entrepreneur.com community. Send in your burning business question, or comment on someone else's now. Have a Question? Ask Now

Topics (over 1000+ answers)

Ask Entrepreneur Q&A Hangouts

Google + Hangout With Shark Tank
Google + Hangout With Jason Falls
Google + Hangout With Angela Jia Kim
Google + Hangout With Grant Cardone

ASK Quick Tips