Method of valuing a business

What sort of business is it? There may be a standard way of valuing that type of business. The AAT magazine last month for example mentioned accounting practices being valued at 1 to 1.50 time’s annual fees.

I suppose the net value on the balance sheet is one way as you say but the hard part is to value brand, customer loyalty, quality of staff etc. So it’s down to what someone is willing to pay for the business? The difference being goodwill.

I seem to remember from my CIMA studies lots of complicated formulae about future earnings to value a company.....gulp