How to Value a School?

There is no simple formula that you can use to value your school. We calculate that there are over 60 individual factors that need to be considered when making a school valuation. There are figures relating to multiples of net profit however in practice these rarely apply. Many of today's buyers of schools are oversees investors looking for safer areas to invest their money. Due to the historical reputation of the British educational system schools in the United Kingdom are considered safe harbours for investors. The broad figures for goodwill calculations are somewhere between 2 to 5 multiples of net profit plus the commercial valued of the freehold property value. A risk assessment is also important as this looks at local competition, the reputation of the school, recent trends in numbers attending the school, regulatory reports and staffing issues.

If you would like to have a confidential discussion of the value of your school them please don't hesitate to contact us. Alternatively please fill out the form below and one of the Morgan Cox School transfer consultants will call you back at a time suitable to you.