Although there are several valuation methods, any business' value is determined by:

- Revenues

- Profits

- Net worth

- Management

- Systems / operations

- Profit evolution

- Competition / market share

- Patents / assets

- Dozens of other factors.

Ultimately, the only accurate value is what a potential buyer is willing to pay for your company. Nothing can beat the law of supply and demand.

I wouldn't agree that the value of a brick and mortar business is determined to physical assets. You can have a nice store with a lot of inventory and lose a lot of money every month.