Most business owners in metro Atlanta think they know what their company is worth—but they’re usually off by 50% or more. In this episode of Transitions with Ramzi and Claudia, Ramzi Daklouche and Claudia break down Seller’s Discretionary Earnings (SDE), the real metric buyers use to value small businesses, and why net profit on a tax return can be wildly misleading.
They walk through a real Atlanta service business that went from a perceived $200,000 value to nearly $960,000 after a proper SDE recast, explain the most common addbacks (owner salary, personal expenses, one-time costs, and non-cash charges), and show how small changes in your valuation multiple can create six-figure swings in your sale price.
You’ll also hear how current conditions in the Atlanta M&A market impact valuation, why getting a professional valuation early gives you time to close the gap between where you are and where you want to be, and how VR Business Sales Atlanta provides complimentary valuations for owners across the region.