Total Practice Solutions Group


Broker Tip of the Month – July 2017

Posted on by KurtLiljeberg

It is important to remember the capitalization rate is at the discretion of the evaluator. Important factors that determine one’s rate are location, growth of revenue stream, ability to transfer goodwill and demographics. Lower capitalization rates indicate greater risk to the investor while higher rates are associated with less risk.

Tip by Dr. Dave Davenport and Mr. Nick Elliston

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