The ValueMyBusiness-RMIT Index has been publishing the Index since September 2006. Formerly known as The BizExchange Index, ValueMyBusiness has partnered with RMIT University to ensure that the Index remains an important resource for assessing the value of private business in Australia well into the future.
The ValueMyBusiness-RMIT Index provides the earnings multiples for a vast array of businesses according to their size and the industry in which they operate. The calculated earnings multiple can then be applied to the earnings of the business under consideration: for buyers and sellers alike.
Click here for more information on earnings multiples and how they can be applied.
The ValueMyBusiness-RMIT Index is a guide or benchmark of business value, but ultimately the worth of a business depends on the many factors that specifically apply to that business, which can affect positively or negatively on its value.
Please click here to learn more about the factors that affect business value.
Business Valuers, be they accountants or business brokers, can offer a full business valuation, but this can take time to complete.
Alternatively, and as a first step, The ValueMyBusiness-RMIT Index of business value multiples is a fast and cost-effective way of quickly assessing the value of a business.
The buying and selling of private companies is often hidden and so there is no ready and transparent market of business values for small to medium enterprises (SMEs). The ValueMyBusiness-RMIT Index provides that transparency of SME values across industries and over time.
Business valuation can be an involved process. There are a number of different ways of how to value a business. Knowing the worth of a business is important, if you are:
Or alternatively if you are: