Are you planning to sell your company or do you wish to acquire a company? In that case, a business valuation is an essential part of the sale or acquisition process. The KroeseWevers Corporate Finance advisers have the expertise to effectively carry out a business valuation that enables you to take well-informed business decisions.
What is the actual value of a company? And how should one go about determining that value in an appropriate manner for all parties involved? In the course of time, all entrepreneurs will have to deal with these kinds of questions. In practice there are a number of examples for which it makes sense to prepare a business valuation:
Sale of the company
Purchase of a company
Merger(s) or (tax) restructuring
Management participation
Joining or resignation of partners
Disputes between shareholders
Divorce
Gift
Death of the entrepreneur
When a making business valuation, several interests are relevant. Financial, strategic and personal interests. Therefore it is important to have expert advice to determine the value of the business, as the value that you might assign to the company often does not match the value that a purchaser of the company has in mind. In a business valuation, our advisers will include all the relevant factors to determine the actual value of the company.
A business valuation is more than just considering the present balances on the company’s bank accounts and the annual figures of the preceding years. The future and the earnings potential of the company are very important when drawing up a balanced business valuation. Hence, we take the following into consideration:
Financial history and financial forecast
Market developments and the market position of the company
Market opportunities and the options for the company
The company’s dependencies such as the board of directors, management, customers and/or suppliers
A business valuation will not only provide insight into the figures. A business valuation consists of more than mere figures. You will gain insight into the business, its market position and any growth opportunities and earnings potential. On the basis of those insights, you can determine the acquisition or selling price of a company. But you may also decide to pay more, or even less, based on personal or strategic considerations.
Interested in more info about a business valuation? Our advisers would be happy to inform you about how business valuations are made and what services we can provide during an acquisition or sale of a company. Feel free to contact one of our specialists for a no-obligation introduction.
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