There are many different ways of valuing a company, each of which has
pros and cons.
There was no financial information on Xavier Media available from
Hoovers or Dun&Bradstreet databases. These are normally good sources,
but they sometimes do not list very small companies.
Often companies are valued by the value of their assets (liquidation
value) or as a multiple of their earnings.
If you are referring to the company at xaviermedia.com (it appears to
be a web hosting company) you could add up all the value of their
servers, desks, office equipment, etc. to come up with a valuation.
Alternatively, if you have access to financial information, you could
compare Xavier to other publicly-traded companies in the same
industry. (e.g. If ABC Hosting Company earned $1,000,000 last year,
and is valued at $10,000,000, then the value is 10 times earnings. If
Xavier earned $10,000 last year, by applying the same multiple it
might be worth $100,000.
Of course, these are rough estimates. Growth rate and other factors
can affect the valuation as well, but this should give you an idea. |
