Valuations are not done off of gross revenue. They are done off of net.
And the only place you see X factor of 2 or 10 etc. is from stock pumpers.
Real valuations are done off of book valuation then you may do net also added in as a forward valuation when selling (and that forward valuations are not an exact science but not 10 times value etc).
Loan officers, business speculators etc. do not use these crazy valuations you guys are always speaking of.
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