lvvcsf

I have owned a service Franchise for over 26 years. It's never made me anything resembling rich but allowed me and my family a modest income. We are an S Corporation. Most of the questions on the CSS Profile are easy to answer or at least I know where to get the information. The one question that stumps me is in the self employed section. It asks for the market value of my business. We are a service business so I have few tangible assets. I can come up with a value I might hope to get if I sold the business for it's Good Will and as a going concern but I cannot borrow against it. Does anyone have some insight as to the way this question will be used? Are they looking at it as an asset that I might be able to use to fund my D education? If so that is not the case. I want to be honest but don't want to be put into a situation where it is assumed I have more assets available than I have and penalized when it comes to financial aid. Thanks.

momofthreeboys

If you don't have a financial adviser there is much searchable information on the web about how difference businesses are valued. You say you have a Franchise also, so your corporate office for the Franchise may be able to help you calculate a value for the business. There are many people who are self employed in various capacities and have to stop and value something they may never thought about . Make sure that your kiddo has financial safeties if your asset is not tappable financially.

paperplane

From my own experience, if you're self-employed, take whatever your FAFSA EFC was and multiply it by 1.5 or maybe even double it.

Okay, not scientific at all, but I honestly (stupidly, I guess) thought some of the very pricey schools MIGHT see a $25,000+ gap between EFC and COA as something worthy of a bit of grant aid. They were willing to offer a package of loans, loans and loans...I have a (very) small business and what I consider a decent income, but not rich. My only assets are my computer & my brain, neither of which is worth much on the open market!

Luckily I had discovered CC and researched and realized my D had better have some financial sure-bets, because I wasn't up for taking loans of that size. We had saved, and we have good income. We are so fortunate. No complaints--just learned to be realistic & found great options that we can manage. Don't get me wrong--we're still scrimping to do it, but we're not getting in big debt.

While your experience may be completely different (so many variables!) be SURE your child applies to 1-2 schools that they will like to attend and that you can AFFORD.

Read this Financial Aid board, so much helpful information!