Business value

Discussion in 'Growing and Managing a Business' started by Lbvcjhks, Sep 3, 2011.

  1. Lbvcjhks

    Lbvcjhks
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    I have seen various posts about the value of a business, but I haven't read anything that seems to fit my business.
    I have a small scale tourism operation that is really limited to a 6 month window due to weather constraints. Ocassionally I run tours in the low season but these are few and far between and I see them as bonuses.
    I am about to divorce and my ex is asking for me to buy her out. My business is basically me - I do everything via email connections and contacts built up over years. I believe most conatcts come to me because of who I am and knowing me rather than because of the name of the company. In other words I am confident I could close down the operation and set up another under a different name and be back to where I am now in very little time.

    So at the end of the day it would seem the company is worth very little if I am not working it. Any ideas on how to give a value to a business like this would be very appreciated.

    Roger
     
  2. Fergal

    Fergal
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    I'd agree with that, if the business cannot work without you working on it then it has very little value as a business.

    You should explain your view on the limited value of the business to your lawyer and ask him / her if they can convince your ex's legal representative that the business has no value.
     
  3. Gary Barzel

    Gary Barzel
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    Did you sign a contract with her? Did it state that if you split up you have to buy her out? As Fergal suggested you should speak to your lawyer, if there's no obligation on your part to pay her for her half either because you never agreed to it, or because she adds no value to the business then there's no need for you to shut down the business and open it up under a different name.
    As for your business only having a few tours in the low season; do you currently have a website? If not you should start one as you have only to gain from it's benefits. Starting a blog would also be helpful, you can blog about the place you're in, offering information about the area and other sort of helpful tidbits about the place. Even if due to the weather constraints you are only limited in the amount of tours you can give, you should still try to cash in on those few tours that you do give during that time period. Offering an incentive to tourists during the low season either by giving tours at a discounted rate or something of the like may be helpful to attract others.
     
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  4. Oceane Line

    Oceane Line
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    company

    If you would like to know all the information available on the internet about your company or another one you can access Strategator.com. You'll find there lots of information and documents of all companies in the Europe.
     

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