In an acquisition, goodwill is the excess of the purchase price over the fair value of the acquired company’s net identifiable assets (both tangible and intangible). It represents elements such as brand reputation, customer loyalty, and proprietary advantages that contribute to future earnings but cannot be individually measured or separately recognized as distinct assets. While goodwill can significantly impact the final purchase price of a business, determining its true value is often complex. Overestimating goodwill can lead to inflated valuations and potential write-downs, while undervaluing it may result in leaving money on the table during negotiations.

Sunbelt Marketing
Recent posts by Sunbelt Marketing
15 min read
Goodwill in Business Sales: What It Is, How to Calculate It, and Why It Matters
By Sunbelt Marketing on Feb 25, 2025 6:34:50 PM
9 min read
Thinking of Selling? How 2025’s Market Trends Could Impact Your Business Valuation
By Sunbelt Marketing on Feb 6, 2025 6:25:30 PM
After a period of fits and starts, the landscape for mergers and acquisitions appears poised for renewed momentum in 2025. Recent data points—from increasing large-deal volumes to evolving macroeconomic conditions—offer optimism for business owners considering a sale or valuation assessment. Yet, amid the encouraging signs, the market continues to flash mixed signals. Understanding these nuanced shifts is critical for those aiming to capture optimal value.
Topics: Blog Business Valuations
8 min read
How to Sell a Roofing Company: Tips for Maximizing Your Roof Business Value
By Sunbelt Marketing on Sep 9, 2024 3:56:43 PM
Selling a roofing company can be a complex process, but it can also be highly rewarding if done correctly. Whether you're considering retiring, shifting to a different industry, or simply ready to cash in on your hard work, understanding how to sell a roofing company is crucial. In fact, roofing businesses make up a significant part of the broader construction industry, which in the U.S. is valued at over $1.5 trillion annually. For roofing business owners, the potential sale value depends on a variety of factors, including company size, recurring revenue, and market trends.
6 min read
Selling an Electrical Contracting Business? Discover how to Maximize the Value of Your Electrical Business with Business Brokers
By Sunbelt Marketing on Sep 9, 2024 2:14:30 PM
Selling an electrical contracting business is a complex process that requires careful planning, strategic execution, and a thorough understanding of your company's value. Whether you're an electrical contractor looking to retire, move on to a new venture, or simply capitalize on the business you've built, getting the most value out of your sale is paramount. In fact, statistics show that up to 80% of small businesses that go on the market never end up selling, primarily due to improper valuation or misaligned expectations between the seller and the buyer.
9 min read
Maximize the Value of Your Plumbing Business: Expert Insights on Selling for the Best Price
By Sunbelt Marketing on Sep 5, 2024 2:53:39 PM
If you're considering selling your plumbing business, understanding how to maximize its value is essential. The U.S. plumbing market is valued at $126.4 billion and continues to grow, making it a promising time to sell. To secure the best deal, focus on key factors like EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization). Strategic adjustments, such as adding back certain expenses, can significantly boost your business’s valuation.
14 min read
The Ultimate Guide to Selling a Home Service Business in 2025
By Sunbelt Marketing on Sep 5, 2024 2:11:23 PM
As a home service business owner, you've invested years of hard work and dedication into building your company. Whether you're running a successful plumbing business, roofing, HVAC service, or another in-demand home service enterprise, the decision to sell is significant. If you're considering this important step in 2025, you've come to the right place. This comprehensive guide will walk you through the intricate process of selling your service-based business, helping you maximize its value and attract the right buyers.
Selling a business is not just about finding a buyer; it's about strategic preparation, understanding market dynamics, and positioning your company for optimal value. This guide will provide you with invaluable insights to navigate the complex landscape of selling a service business, ensuring you're well-equipped to make informed decisions every step of the way.
10 min read
Accelerating the Sale of Your Manufacturing Business for Maximum Profit: A Step-by-Step Guide
By Sunbelt Marketing on Apr 12, 2023 8:33:00 AM
Imagine this: You’ve spent years — decades, even — pouring into your business. You’ve labored and toiled day-in and day-out to create something truly special, and you’ve made it! Your business is thriving, you’re producing excellent products and bringing in equally excellent profits, and though you’ve experienced your share of bumps in the road, you’ve built an empire you can take pride in.
But now, something’s changed. You’ve built your business, taken care of it, and achieved your goals, but lately, you’ve felt like it’s time to move on to new horizons. Maybe you’ve decided to retire. Perhaps you no longer have that same passion, and you want to try out something new. Whatever your reasons for wanting to move on, you know it’s time to pass the business on to someone else.
There’s one problem, though — you don’t know how to sell a business. You’ve definitely built some solid business skills over the years, but that doesn’t mean you’re ready to broker your own sale. There’s a lot to consider when you’re selling a business, and right now, it seems like an overwhelming prospect.
Does that scenario sound familiar? Well, you’re in luck because Sunbelt Atlanta is here to help! We are a team of expert business brokers with over 70 years of collective experience buying and selling businesses. If you’re looking for a manufacturing business broker, you’ve come to the right place.
At Sunbelt Atlanta, we’re passionate about taking the frustration and headaches out of brokering the sale of your business. We know you’ve worked hard, and we believe you shouldn’t have to wade through the complicated process of selling your business all on your own. We’re ready to partner with you every step of the way so that you can reap the rewards from your years of hard work.
Are you ready to get started? We are too. Selling your manufacturing business doesn’t have to be painful. In fact, we’re here to make it easy!
In this blog, we will explore the process of selling a manufacturing business. We will cover topics such as preparing the business for sale, finding the right buyer, and maximizing the value of the sale. Additionally, we will discuss the services offered by Sunbelt Atlanta Business Brokers, and how they can help business owners get the most value for their manufacturing business. Our goal is to provide business owners with the information and resources they need to successfully navigate the process of selling their manufacturing business.
Topics: Manufacturing
9 min read
Selling a Construction Company? Here's How to Prepare a Successful Sale
By Sunbelt Marketing on Apr 1, 2023 11:31:00 AM
If you're considering selling your construction company, you're not alone. There are many reasons why business owners decide to sell, whether it's to retire, dissolve a partnership, or pursue new opportunities. However, selling a small "Mom & Pop" construction company can be challenging, especially if you're the sole owner and operator. If you're ready to move forward with the sale, there are several steps you'll need to take to prepare your business and find a buyer. In this blog post, we'll provide some tips and guidance to help you successfully sell your construction company.