#5,144 in Business & money books
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Reddit mentions of The Art of Distressed M&A: Buying, Selling, and Financing Troubled and Insolvent Companies (Art of M&A)
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We found 1 Reddit mentions of The Art of Distressed M&A: Buying, Selling, and Financing Troubled and Insolvent Companies (Art of M&A). Here are the top ones.
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McGraw-Hill
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I went through the process of trying to sell a failed startup a few years ago. I read this text book on "distressed assets", which is a technical term that might help you do some research on this. I can't find the exact text book, but it was something like this one.
The basic formula is:
So as an example, with my former business I estimated that within 2 years it could bring in $500k/year revenue. I used a 2x revenues multiple to get a $1mm valuation. With a conservative 20% chance of getting there, I asked for ~$200k.
If the business is nowhere near cashflow or you don't have a good way to estimate future value... if it could make anywhere from $0 to $100mm... then I'd suggest negotiating for a large advisors % in the company just in case it becomes the next big thing.
Edit: Addressing the downvotes. (1) That's not an affiliate link to Amazon. (2) I'm not addressing OP's situation exactly, but I've been thinking about this recently and thought it might be a useful real world case of how to "value a company with no income".