NAR Library & Archives has already done the research for you. References (formerly Field Guides) offer links to articles, eBooks, websites, statistics, and more to provide a comprehensive overview of perspectives. EBSCO articles (E) are available only to NAR members and require the member's nar.realtor login.
Appraising a Real Estate Office
5 Simple Steps to Valuing Your Small Business (Business.com, Jun. 29, 2022)
Step 1: Forget about capital assets when valuing your business.
Step 2: Work out profitability by being aware of gross income and all outgoing payments.
Step 3: Calculate the Value
Step 4: Factor in Your Market Valuation
Step 5: Accept the Will of the Market
How to Calculate Your Business’s Value: Here’s What Investors are Looking For (Fast Company, Apr. 15, 2022)
“The primary drivers of a business’s value are EBITDA (earnings before interest, taxes, depreciation, and amortization) and multiples of EBITDA. It’s like net profit, but not exactly. Broken down simply, a truckload of apples you bought for $100,000 and sold for $120,000 would have an approximate EBITDA of $20,000. Investors looking to buy businesses assign them a value in multiples—x times EBITDA. The most common multiple they want is three to five, or profits around 20%. A company in business for 10 years and holding a 20% margin presents investors with a safe investment to value at five times EBITDA, the higher end of average success.”
What is a Business Appraiser (The Balance, Mar. 17, 2022)
As an unbiased professional, a business appraiser can help you accurately determine the value of your career’s work, your business, and/or your property. Appraisers use the same popular appraisal methods that you might use, but are required to function independently and meet specific standards.
Selling Your Book of Business
What is a Book of Business? Definition & Examples of a Book of Business (The Balance, Sep. 17, 2020)
“Your book of business should include all customers or clients you have worked with in the past. As you acquire a new client, add them and their information to your book of business. Your book of business is ideally ever-changing and evolving, with new information added about your clients as your relationship progresses.”
How to Value a Small Business if You are Looking to Sell or Buy (NerdWallet, Oct. 30, 2020)
The valuation process requires organizing your finances and taking stock of your assets. Keep in mind that both the tangible and intangible value of your company is being assessed, including intellectual property, your brand and reputation, as well as consumer loyalty.
The Sell Your Business Tool Kit (REALTOR® Magazine Online)
“Part of your retirement plan may include the sale of your business. Just like selling property, this process requires intense preparation, focus, and specialized knowledge. But selling your business includes the added pressure of valuing, marketing, and letting go of a large piece of your professional life. Use this tool kit to navigate this difficult process successfully.”
Selling Your Website
How to Sell a Website in 2022 and Get the Price You Deserve (Kinsta, Apr. 7, 2022)
“You need to invest the time to take your website to its peak. You also have to lay the foundation for new ownership before reaching out to buyers. If you fail to do this, you will struggle even to find a willing buyer in the first place. The more time, money, and effort you put in up-front, the easier the sale will be. A well-managed online business with automated content creation processes and fulfillment is much easier to sell than an improvised mess.”
How to Sell a Website – 7 Steps to Sell Quickly (Cloudways, Dec. 29, 2021)
- “Understand your audience
- Know what your website’s worth
- Create a lead funnel
- Research marketplaces for buying and selling websites
- Optimize your profits before making a listing
- Learn to approach interested parties the right way
- Get the right statistics to present to buyers”
5 Questions You Should be Asking About Succession Planning for Your Family Office (National Law Review, Jun. 30, 2022)
- Why should I create a succession plan?
- When should I start?
- What is included in a succession planning process?
- Where should I begin?
- How do I find the right successor?
How to Win the Succession Game (Chicago Agent Magazine, May 2, 2022)
“There are a number of resources through Realtor associations and brokerages on how to develop a succession plan, but there is no one-size-fits-all solution, and specialists in the field are few and far between. Nick Krautter, author of “The Golden Handoff: How to Buy and Sell a Real Estate Agent’s Business” and CEO of Portland, Oregon-based City & State Real Estate, bought his first book of business from an outgoing agent in 2010 and over the next few years, added several more to his roster. “When I started doing this, I assumed everyone was doing it,” he said, noting that he was surprised to learn how little guidance there was available for succession planning.”
Succession Planning (Investopedia, Apr. 10 , 2022)
When done correctly, succession planning should be in mind long before a leader leaves a company. Successful succession planning begins with candidate recruitment – hiring the right candidate and providing them with the environment and resources could lead to a smooth transition if and when a future position needs to be filled.
The Sell Your Business Toolkit (REALTOR® Magazine)
Close or Sell Your Business (U.S. Small Business Administration)
SBA provides information on planning your exit, steps to closing a business, selling your business, transferring ownership, and more.
The Institute of Business Appraisers
In valuing your business, consider working with an evaluation professional. The Institute of Business Appraisers offers a certified business appraiser (CBA) designation for those meeting the group’s education and performance criteria.
eBooks & Other Resources
The following eBooks and digital audiobooks are available to NAR members:
Business Valuation and Taxes (eBook)
Business Valuation for Dummies® (eBook)
Buying and Selling a Business: A Step-by-Step Guide (eBook)
Career Planning and Succession Management (eBook)
Effective Succession Planning (eBook)
Exiting Your Business, Protecting Your Wealth (eBook)
Inside CEO Succession: The Essential Guide to Leadership Transition (eBook)
Journal of Property Investment & Finance, Volume 34, Issue 6 (eBook)
Selling Your Business for Dummies® (eBook)
Selling With Certainty (eBook)
Succession Exit Transition (eBook)
The Market Approach to Valuing Businesses (eBook)
The Small Business Valuation Book: Easy-to-use Techniques That Will Help You... Determine a Fair Price, negotiate Terms, Minimize Taxes (eBook)
Valuing a Business (eBook)
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