Whether you are buying or selling a business, it is important to know a company’s value. Our breadth of knowledge of the business marketplace allows us to deliver a full range of business valuation services from simple market data valuations to a full business appraisal. The following business valuation services are available:
Broker Opinion of Value
The Broker Opinion of Value (BOV) is a restricted use business valuation utilized to determine the Most Probable Selling Price (MPSP) of businesses with annual revenues up to $1,000,000. The basis of the valuation is the Direct Data Market Method which primarily uses discretionary cash flow multiples and comparable sales of like companies. The valuation considers historical and current financial performance and assumes that the business will be sold free and clear of any liabilities and debt. The conclusion of the report provides the MPSP in the form of a one page summary document.
Price Evaluation Analysis
The Price Evaluation Analysis is a restricted use report utilized to determine the Most Probable Selling Price (MPSP) of businesses with annual revenues up to $3,000,000. The report uses multiple price evaluation methods including the Market Method, the Multiple of Discretionary Earnings Method and the Buyers Test Method. The report considers historical and current financial performance and assumes that the business will be sold free and clear of any liabilities and debt. The conclusion of the Price Evaluation Analysis comes in the form of a report, typically in excess of 15 pages.
Calculation of Value
The Calculation of Valuation is an independent, third party restricted use business valuation intended for business with annual revenues up to $10,000,000. The report provides a detailed review of all aspects that were considered in determining the final valuation conclusion. The bulk of the report is financial analysis and the valuation conclusion is supported in detail. In addition to reviewing the company’s historical and projected earnings, the report also contains a detailed review of the balance sheet. The conclusion of the Calculation of Value comes in the form of a report, typically in excess of 30 pages.
Complete Appraisal-Summary Report
The Complete Appraisal-Summary Report is an independent, third party restricted use comprehensive business valuation used for transactional purposes. This valuation is intended for lower middle market business with annual revenues in excess of $10,000,000, strategic acquisitions of niche businesses, and businesses with significant growth expected in the future. The basis of the valuation is focused on future earnings and the selection of guideline companies comes from both the private and public markets. The conclusion of this Appraisal comes in the form of a report which can exceed 50 pages depending on the information that is used to support the conclusion.
Complete Appraisal-Self Contained Report
The Complete Appraisal-Self Contained Report is an independent, third party USPAP governed valuation, developed for litigation focusing on US Court Reviews, Cited Court Precedents, and in-depth analysis and research of minority and marketability discounts. This valuation is intended for Estate Tax, Gift Tax, ESOP’s, Divorce, and any situation requiring litigation support. Uniform Standards of Professional Appraisal Practice (USPAP) and American Society of Appraisers (ASA) address this report as a “Comprehensive, Written Business Valuation Report”. The Institute of Business Appraisers (IBA) addresses this report as a “Formal Written Report”. This report is completely customized and can exceed 100 pages depending on the information that is used to support the conclusions.