by chelly@marketingwiththeagency.com | Jun 4, 2014 | Buyer FAQ, Valuation
The initial response to the question in the title really should be: “Why do you want to know the value of your business?” This response is not intended to be flippant, but is a question that really needs to be answered. Does an owner need to know for estate purposes?...
by chelly@marketingwiththeagency.com | May 5, 2014 | Valuation
“As shocking as it may sound, I believe that most owners of middle market private companies do not really know the value of their company and what it takes to create greater value in their company … Oh sure, the owner tracks sales and earnings on a regular basis, but...
by chelly@marketingwiththeagency.com | Jul 1, 2013 | Seller Articles, Valuation
There is the old anecdote about the immigrant who opened his own business in the United States. Like many small business owners, he had his own bookkeeping system. He kept his accounts payable in a cigar box on the left side of his cash register, his daily receipts –...
by chelly@marketingwiththeagency.com | Jun 27, 2012 | Valuation
1. Start with the business – Value Drivers: Size, growth rate, management, niche, history – Value Detractors: Customer concentration Poor financials Outdated M&E Few assets Lack of agreements with employees, customers, suppliers Poor exit...
by chelly@marketingwiththeagency.com | Jun 27, 2012 | Valuation
“There are many reasons for valuing an entity, and those circumstances can lead to different outcomes…For instance, a business’s value for sale on a going-concern basis will differ from its value for liquidation purposes. It similarly makes a difference if the...
by chelly@marketingwiththeagency.com | Jun 27, 2012 | Valuation
Many courts and the Internal Revenue Service have defined fair market value as: “The amount at which property would exchange between a willing buyer and a willing seller, neither being under any compulsion to buy or sell and both having a reasonable knowledge of...