What is my business worth?
One of the most important first things a business owner must do is select the asking price for the business. Most owners focus too little energy on this extremely crucial step of the process. Setting the price too low is like giving away free money; pricing it too high will not attract a buyer.Because most company financial statements are made with an eye to minimizing the taxable income, the company's tax returns and income statements are poor indicators of the true market value of your business. Setting an asking price based on these would be a costly mistake.
With a professional Market Valuation Analysis, the financials of the business are recast so that an accurate market value can be determined. A evaluator also has the benefit of an extensive database of comparable sales information and research on industry trends and pricing multiples. Potential buyers want to see an independent valuation of the business before considering an offer, and most lenders won't give a business loan to a buyer without a professional valuation. A Market Valuation Analysis is your best tool for attracting qualified buyers, proving the worth of the business to the buyer's lender, and getting the most money out of your business at closing.
Our affiliation with the Business Brokers Network allows us to pass along a deeply discounted contract rate for valuations. As certified Financial Recasting Analysts, we will assist you with gathering all the necessary information, and in recasting financial statements for the valuation process.
