The value of a business is generally determined through a combination of methods:
Asset valuation: Calculating the value of tangible and intangible assets.
Earnings valuation: Assessing the business’s profitability through its earnings before interest, tax, depreciation, and amortisation (EBITDA).
Market comparison: Comparing the sale price of similar businesses in the industry. A financial advisor or accountant can help you determine the most accurate valuation.