The value of an Online Tea Business

It is measured by happiness provided which is why Butiki was one of the most valuable online tea sources

I would measure it like any other business. You start with rate of return: How much profit do you make after covering all expenses and paying yourself a reasonable salary? Typically you probably want somewhere between 5% and 20%, with some variation if you are growing sales, flat, etc.

Uh… I mean… its assets(?) So money in the bank + goods (tea and tea ware) + property + misc equipment.

The amount of fan girls/fan boys?

Or when you’ve become “dealer” status. Most applies to pu’er sellers.

I write valuation reports and all the companies (with some changes of course as not every industry works at the same way and it’s not the same a mature company than a new one for example) are valued at the same way more or less.

The way I would do it is to create a DCF (discounted cash flow) model to look for a fair price. I would also take a look at the balance sheet (to see how assets and liabilities are distributed), P&L account (to calculate profit ratios and so) and the cash flow statements (if you havne’t got it you can do it yourself, it’s not rocket science) to see from where money comes and where it goes.

Then I would look at many other things such as market share, growth potential, etc.

Well, the process it’s not exactly that as I always read first the annual report (so, balance sheet, p&l account and cash flows first, after look for growth potential and other things and then if I like the business model and I like the company I do my valuation via a DCF).