EP #7: Pricing Truths For Business Sellers

Think your company is worth more than buyers will pay? We unpack the hard truths behind valuation, diligence, and deal risk so owners can protect price and actually close. Jeremy Wolf and Dustin Zeher walk through the exact steps they use to ground pricing in reality—industry benchmarking, NAICS alignment, live comps, and cash flow multiples that change with revenue scale. They explain why equipment and fixtures are typically included in the multiple, how buyer perception shapes value, and what to do when your “magic number” doesn’t match the market.From there, we get surgical about financials. Clean books are the difference between a smooth SBA process and a stalled deal. You’ll hear how to make every dollar verifiable across tax returns, P&Ls, merchant statements, payroll reports, and bank statements, plus when recasting helps and when unverifiable cash forces a one-to-three-year reset. We also dig into confidentiality as a value shield—keeping employees, vendors, and clients calm until closing—and how to manage sensitive transitions with holdbacks, notes, or earnouts tied to client retention.The diligence checklist goes beyond the basics: leases that match loan terms, vendor pricing and tariff exposure, customer contracts and backlog, workforce compliance, and licensing that may attach to individuals. We surface the biggest red flags—undocumented revenue, immigration issues, license gaps, and misrepresentations—and show sellers how to be transparent without oversharing too early. The playbook is simple but not easy: set expectations with data, run clean numbers, engage a seasoned CPA and attorney, and share the right details at the right time.If you’re serious about selling or buying a small business, this guide will save you time, stress, and real money. Subscribe, share with an owner who needs it, and leave a review to tell us what topic you want next.Ready to explore your financing options? Visit horizonbrokers.com or call 703-910-7384 for personalized guidance on making your business acquisition dreams a reality.