BizEquity.com is a free online service that allows small businesses (those with less than $10 million in revenue) to discover and better understand their estimated value and that of their competitors. BizEquity.com was unveiled at DEMOfall 08, a premier launch venue for new products, technologies, and companies.
Small businesses account for nearly 43 percent of total business wealth in the U.S. and employ nearly 54 million people. Yet, according to a BizEquity survey conducted by Chamberlain Research Consultants, 65.8 percent of small business owners do not know how to quantify or calculate the financial value of their businesses. In an effort to better equip small business owners with information about their companies, competitors or potential acquisitions or partnerships, BizEquity.com valuations:
- eliminate the cost and time commitment required for an initial valuation
- help small businesses understand how they might stack up to their competition
- empower small businesses, armed with financial data, to better understand what their business may be worth
- allow owners to benchmark their businesses against industry and national standards
BizEquity.com calculates its valuations by aggregating publicly available and commonly accepted information from trusted financial data reporting services—the same resources utilized by leading global corporations— with BizEquity.com’s own financial modeling methodologies developed by industry experts. More customized estimates, generated quickly and automatically, are available for business owners who provide additional detail about their business.
These valuations are estimates, providing an initial picture of what a small business might be worth. Given the many factors that affect the worth of a business, not all potential influencing aspects are taken into account; however, the BizEquity valuation provide a preliminary value.
The real fun, though, is checking out businesses you work with on a regular basis. Since I’m building a house, let’s check out some of the companies involved:
- The builder: Western Homes $750,000
- The excavation contractor: Kelton Excavating $200,000
- The geotechnical engineeer: Sees Consulting $40,500
- The wood stove company: Mountain Comforts $186,100
Do businesses in your town show up? Any surprises?
BizAg on September 9th, 2008 at 4:13 pm
Nice service. We take a slightly different approach to business valuation on our site, BizAg.com We offer business valuation tools using multiples to determine business value. We track over 100,000 businesses for sale to determine the multiplier. Using a combination of tools will help a buyer initially estimate a businesses value.
cassy on September 10th, 2008 at 4:04 am
Great ideas, I will share this to a friend of mine who has business in California, might can help him that your site offers.
Goodluck to BIZEQUITY!!