How accurate is Jazoodle’s valuation?

It is often said that the only true valuation of a business, is the amount that a buyer is prepared to pay and a seller is prepared to sell for. Business value is affected by a number of factors, including the risk perceived, historic performance, strategic fit to the buying organisation and a myriad of other factors. Jazoodle's valuation assesses historical factors mainly, such as pre depreciation earnings performance. In doing so, our model takes into account implied factors, such as quality of management team, prevailing market conditions etc. Our proprietary algorithm assesses growth, and stability of growth. For instance, a business with volatile sales growth, will not be valued as highly as a business with stable and consistent growth. This makes sense as a buyer may want to understand the likelihood of payback or return on their investment

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