According to SCORE, there are three ways to assign value.1) Asset Based Approach How much would it cost to replace all of your assets with equipment in like kind condition? For businesses without earnings that surpass the value of its assets,
Cheap Golf Clubs, this is the simplest way to assign value.2) Market Approach If you own a home,
Wholesale Golf Clubs, you find its value by comparing it to similar houses in your neighborhood. By looking at other businesses in the marketplace with similar assets tangible and intangible, you can determine value in the same way. This approach can work against you if your business doesn operate like other comparable companies.3) Income Approach Finally, you can assign value by looking at your business’s pretax and after tax earnings or using another income metric such as gross sales.