Whether you’re making exit plans or you want to give confidence to investors, knowing the value of your business is a vital step.

As a starting point, it’s important to work out what it is you’re actually selling. Is it the business’s name, and the reputation that comes with it? Is it the lease on the premises – and is this currently owned by you or by your company?

The kind of business you run, the sector it’s in, the assets it holds and the people who work there could all make a difference to its overall value.

Setting all of this information out from the start will help you to reach an accurate valuation, and to communicate it clearly to potential buyers.

We consider 4 main methods for valuing a business in this months update.