What is it worth? Whether you're buying or selling, this is the million dollar question, as well as the sticking point for many in an M&A negotiation. As a seller, without a clear idea of how much your company is worth you can encounter two problems: under-estimating your company's value, which throws away your hard work and leaves cash on the table or overestimating the value of your business, which can lead to no buyers and maybe, no sale. This is why companies undergo professional valuations.

While business valuation has its roots in complicated appraisal metrics, the real world of business valuation has roots in practicality. The work place does not always have a job for you at your salary expectations/needs. Enter the real world of buying a business. The goal is to find a company that suits your vocational talents, is within a suitable geography and will be something you would be proud to own.

A company’s job is to provide a service in exchange for money. The amount of money that flows into and out of your business not only allows it to grow, but to provide a gateway to more funding by showing the profitability of your business to investors. Having this data is vital to making a sale or buying a business.