MCH Enterprises, Inc.
Media Brokers & Consultants

 Stations For Sale
 Past Transactions
 Station Appraisals
 About Us

Industry Links:
     Arbitron
     Bayliss Foundation
    
California Broadcasters
     Radio Advertising Bureau
     National Association of 
          Broadcasters

Station Appraisals . . .


MCH Enterprises, Inc., has developed a "primer" on station valuations.  Many people in the industry know that reasonable multiples paid during station transactions are generally 2.5 times revenues or 8 - 10 times cashflow.  But they do not know why that yardstick exists.  Our primer explains that and also describes the multi-faceted approach we employ when conducting valuations.

It is important for all potential sellers of media properties to remember these important points:

  • Negative cashflow is not an asset;
  • Buyers always determine what is paid for a media property;
  • There are three numbers associated with the sale of a media property:  What the seller wanted, what the buyer wanted to pay, and the final figure that gets published in the trade press after the transaction has closed.

For a printable version of our Primer on Radio Station Valuations, click here: 
Requires Adobe Acrobat Reader.

Copyright 2008 MCH Enterprises, Inc.