Here are 3 simple steps to quickly value a small business in Colorado:

1. Prepare or request from your financial adviser your latest 12 month or annual financial or income statement for the business.

2. Find the total gross sales or revenue figure that is generally located at the top of the financial statement.

3. Multiply the total gross sales figure by the most relevant pricing guideline category below.   This result will give you a very quick and approximate idea of the value of your small business for very general research purposes.

• Accounting/CPA Practice: 100% of gross revenues

• Coffee Shop: 45% of gross revenues

• Small Construction Business: 25% of gross revenues

• Distribution/Wholesale Business: 50% of gross revenues

• Small Manufacturing Business: 50 to 60% of gross revenues

• Restaurant: 35-40% of gross revenues

• Retail Store: 35% of gross revenues

• General Service Business: 50% of gross revenues`

Important Note: The small business valuation guidelines listed above are intended to be used for general research purposes only as there are many other important factors (inventory value, years established, customer concentration, competition, manager in place, etc) that could ultimately affect the value of your particular business either positively or negatively.

Free Business Valuation Consultation: If you feel you might require a formal business valuation or appraisal performed (especially if its regarding legal issues, partnership issues, estate & tax issues, or buying or selling a business purposes) you can go here to request a free preliminary business valuation consultation from a professional appraiser and then you can decide whether having a appraisal performed is the right choice for you at this time.