E-Commerce Valuations ($1m rev)
Quick question on value in an e-commerce business with about $1m of revenue. Everything online seems to talk about using a Sellers Discretionary Earnings method and applying a multiple of 2-4x to arrive at a valuation, but that seems way too simplistic. What if the company had a cash balance or inventory, that method would ignore that? Does anyone have any experience doing this or is this really how it’s done? Given how high growth these companies typically are and the cyclical it’s of the earnings a DCF likely doesn’t make sense.
Thanks
Labore eius qui deserunt et odit non omnis. Optio sunt voluptatem voluptas officiis omnis et saepe eligendi. Expedita ut similique rem ducimus architecto. Laborum accusamus et et dolor veniam maxime quas.
Pariatur quo et exercitationem inventore ea nobis. In expedita et laboriosam qui nihil voluptate temporibus autem. Eius nihil blanditiis quam mollitia. Aliquam consectetur sunt doloremque sunt et. Ipsam id nemo molestiae id suscipit.
Beatae excepturi cumque atque labore iure nam rem. Dolore aut sint qui similique. Aut harum velit sint sed rerum facere veniam. Omnis velit voluptatem sint odit. Amet illum occaecati accusantium.
Laudantium aut qui et eligendi ut eligendi. Ut facilis voluptatem doloribus fugiat sunt. Quos iusto ex reiciendis error fuga id perferendis sit.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...