Business Valuation Myths in 2026: How to Price a Business for Sale in Dubai and Abu Dhabi
If you are preparing a business for sale, your valuation is not just a number. It is the story buyers will believe, the risk they will price, and the confidence they will have when they move from interest to a serious offer.
In 2026, buyers are more selective. They ask better questions, compare deals faster, and push harder on proof. That is why most sellers do not lose value because their company is weak. They lose value because they fall for business valuation myths and repeat common business valuation mistakes that make the valuation look inflated or unverified.
This guide breaks down what actually moves value, how to price a business for sale, and how to avoid the mistakes that cost sellers the most in Dubai and Abu Dhabi.
Why valuation myths are more dangerous in 2026
The market has changed in one key way: buyers have more options and more data. When a seller lists a business for sale, buyers quickly compare it against other business for sale opportunities and also against alternatives like buying a smaller asset, buying a competitor, or waiting for a better deal.
That comparison pressure makes myths expensive, because anything that looks unrealistic triggers one of these buyer reactions:
They disengage early
They ask for aggressive earnouts
They reduce the offer to protect downside risk
They extend diligence and delay closing
Business valuation myths that cost sellers real money
Myth 1: “Revenue alone determines value”
Revenue matters, but it is not the core driver. Buyers pay for reliable cash generation and the ability to sustain it.
What buyers typically test:
Profit consistency and quality
Customer concentration risk
Repeatability of sales
Working capital stability
Operational dependence on the owner
If your pitch is mostly revenue, you are inviting the buyer to discount you.
Myth 2: “A multiple is a fixed rule”
Many sellers hear a multiple and apply it blindly. That is one of the most common business valuation mistakes.
Multiples move based on:
A buyer does not “owe” you a multiple. They earn confidence through evidence.
Myth 3: “My asking price should include future growth”
Buyers rarely pay full value for future growth unless it is already contracted, proven, or extremely likely.
If your valuation depends on future performance, you need:
Otherwise, buyers will push that upside into earnouts.
Myth 4: “My business is worth more because I worked hard”
Effort does not equal transferable value. Buyers pay for what can continue after the handover.
If the business relies on your personal relationships, approvals, or daily decisions, buyers will price that as risk, not value.
This is where a strong business management advisor becomes critical. The goal is to reduce dependency and build a business that runs without you.
