Selling Your Company in France: How to Value Your Business Accurately

Whether anticipating retirement or executing an exit, divesting a company is a major milestone. The central question is always: "What is my business worth?". While emotional attachment often inflates founder valuations, buyers will seek to discount. Valuation is the fulcrum of deal negotiation.

1. The Asset-Based Method (Actif Net Réévalué)

This approach evaluates what the company owns (cash, equipment, inventory, real estate) minus what it owes (bank loans, trade payables). It is especially suited to capital-intensive or asset-heavy industrial and real estate businesses.

2. The Earnings Multiples Method (EBITDA / EBE)

Buyers purchase future cash generation. Valuing through profitability applies an industry multiple to normalized EBITDA (EBE). Recurring contract businesses command significantly higher multiples than companies reliant on founder personality.

3. Intangible Assets and Goodwill

Brand prestige, client retention, team capability, and prime commercial locations form critical intangible value (Goodwill) that significantly boosts ultimate transaction price.

Commission an Independent Audit with CIMAC

CIMAC conducts documented, impartial valuation audits to empower you to enter buyer negotiations from a position of undisputed strength.

Need assistance on this matter?

Ludovic CASSIN and his team are at your disposal to advise you and protect your interests.