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You are the owner of a small business and you want to sell your business, and you are deciding what price you should ask for
You are the owner of a small business and you want to sell your business, and you are deciding what price you should ask for the company. The first three years the company will have cash in-flows of $20,000 at the end of each year. The next 5 years the cash flows will grow at 5% per year. In year 8, the company will sell some of its assets at the beginning of year 8 for $ 10,000 cash. The owners cost of money is 10%. How much should the owner ask for the business?
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