On March 30, 2010,
in How to Buy,
by Dan Munter
Buying a business has many similarities to buying a stock. They both require appraising the value of a company to make sure that you buy at a price which will give you the ability to grow your investment and earn an income (dividend). A careful analysis will use many of the same tools for appraisal. [...]
There are 14 franchise enterprises that focus primarily in the residential market. According to a recent report from information company FRANdata, the franchises of residential cleaning companies are growing at annual rate of 10% . There are two main Rules of Thumb for valuing these businesses. • 40% to 45% of annual sales plus inventory. [...]
