The fact that small businesses are usually illiquid does not affect their valuation process.

Name: The fact that small businesses are usually illiquid does not affect their valuation process.
Brand: Quizplus
Rating: 4.9 (41 reviews)

Question

Quizplus · Accepted Answer

The fact that small businesses are illiquid can affect their valuation process as it may be more difficult to find buyers or investors willing to pay a certain price for the business. Illiquidity can also affect the discount rate used in the valuation process, which in turn can impact the final value estimate.

The Fact That Small Businesses Are Usually Illiquid Does Not