An Accurate Business Valuation is an Important First Step
Performing a professional business valuation takes experience, because no two businesses are the same, even if those two companies share a common industry. There really isn’t a single business valuation formula that can be used to value all companies.
Jeff at Business Broker Colorado uses a multi-faceted and comprehensive approach to your business valuation, which includes every relevant factor that relates to your particular business. This includes a variety of factors, such as:
- Economic Environment
- How many similar businesses are for sale.
- Your Company’s Financial History and Trend
- Hard Asset Fair Market Values
- Earnings, Trend, and Profit Margin
- Industry Comparisons and Multiples
- Current Ownership Capabilities and Compensation
- Required Training and/or Licensing of the New Owner
- History and Percentage of Concentration of Revenue Sources
- Competition
- Seller Non-Compete and Agreements for Consultation
- Working Capital plus Capitalization Expectations
- Location
- How many employees, independent contractors, and how much turnover.
After taking the time to evaluate the factors listed above, Jeff will choose the best method to apply. He will also take into consideration the “fair market value” of the company’s hard assets along with creating an accurate and detailed “add back spreadsheet” for your business valuation.
Whether it’s a partnership buyer-seller agreement, estate planning, divorce, a professional business valuation is a critical step for your business sale. Jeff will create a FREE detailed business valuation for every potential seller.
When you choose Jeff at Businessbrokercolorado.com to perform a business valuation for your business, you can be confident in the knowledge that your valuation is being handled confidentially by an experienced business broker.
Choosing Jeff to perform a complete business valuation includes:
- A Comprehensive Valuation that considers many factors
- An Explanation of the Method Used and Why
- A Lot of Experience
- An explanation as to how various banks, buyers, and groups value businesses also
Call Jeff today at 303-905-7607 or email him at jeff@businessbrokercolorado.com to get your valuation.