what are the three things you need in order to value a small business first profit and loss statement how much money is coming in how much money is going out i care about net income how much money you make that goes in your actual pocket two is tax returns you want to match up what the owner says they make okay their piano with what they pay the tax man because guess what they're probably not overpaying the iris so you know at least that business makes what they said that they made a thorough understanding of the market what are these things trade act small businesses typically trade at anywhere from two to let's say six x profits so if your small business has a hundred k in profits you should be buying it for two hundred to six hundred k with those three things you're about eighty percent to where you need to be to know how to value broadly a small business the devil in the details the twenty percent if you click the link in bio will give you more information on how to get there