An Asset or a Liability?
There are times when persistence and hard work are rewarded and that goes the same for operating a small business. Many business owners use valuation as a tool to check if the costs of running it are commensurate to the market value. If it proves that running or operating a business is becoming more a liability than an asset, the business is then sold. Small business valuation is highly dependent on the economic conditions, financial analysis, normalization of financial statements and income, asset and market approaches.