Types of Businesses Included in This Toolkit:

• Clothing Retailers
• Auto Parts Retailers
• Electronics Stores
• Book Stores
• General Merchandise Retailers
• Sporting Goods Stores
• Home Products / Furniture Stores

Appraisal Methods:

• Income Capitalization Method - Value a retail business by dividing its net income by a capitalization rate; this toolkit provides the current capitalization rate for the retail industry, based on the current share prices of 46 publicly-traded retailers
• Market Transaction Method - Transaction prices and transaction multiples of 101 acquisitions of retail businesses for the period 2006 - 2010
• Comparable Public Companies - This method illustrates how to value a retail business based on its gross profit per square foot of retail space.  This valuation method uses market data of 46 publicly-traded retailers
• Net Asset Value - Develops a valuation for the business based on the book value of the retailer's assets and liabilities

Additional Resources Included:

• Instructions - Detailed instructions for applying each of the included appraisal methods; the toolkit shows how to use a combination of each of these methods to arrive at a highly defensible conclusion of value
• Strategic Analysis - Discussion of operating metrics that have the most significant impact on the value of a retail business
• Calculations Summary - A summary of all calculations provided on a single page in an easy-to-follow format 
• Capitalization Rate by Type of Product Sold - Specific capitalization rates based on the type of product sold

Report Format: Adobe Portable Document Format (PDF); Adobe Reader required for viewing

Date of Most Recent Toolkit Update: 9/4/2011