Goodwill in Business

Most businesses sell for a price which is higher than the value of their chattels and assets. This price difference, or additional value, is called goodwill.

Goodwill is seen as an intangible asset on the balance sheet because it is not a physical asset like the equipment. Goodwill typically reflects the value of intangible assets such as a strong brand name, good clientele, good customer relations, good employee relations and any patents or proprietary technology. A business is goodwill reflects all the intangible factors that are responsible for the company is success. This goodwill value could be substantially harmed if employees, customers, suppliers or others hear rumours about the business is for sale. The employees will worry about their jobs and will either leave, or spread incorrect rumours. Your customers might question the stability of the business and they may stay away. Even your suppliers might not want to provide your credit, or even become worried about your financial stability.

We ensure not to to advertise any information about the business that could harm your business without your permission. The buyers that we deal will will be screened, qualified, and if need be will sing a confidentiality agreement before receiving any information about your business.

We have your best interest at heart and we will go the extra mile to ensure you have the best possible experience when buying or selling business with me and my team.

Looking forward to earning  your business too!

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