Valuing a profit-generating business that's making $1m in revenue as zero is reductive.
Valuation of business isn't necessarily determined by profits (perhaps for commodity businesses), It's just one of the metric. This is a business that has strong operations, product, assets, and IP, honestly quite surprised with this take.
Also, a nit fwiw, you automatically assumed the entire profit of the business is the market salary for the person running this business
Valuation of business isn't necessarily determined by profits (perhaps for commodity businesses), It's just one of the metric. This is a business that has strong operations, product, assets, and IP, honestly quite surprised with this take.
Also, a nit fwiw, you automatically assumed the entire profit of the business is the market salary for the person running this business