When selling and valuing a business many times owners prefer to use internal financials versus their tax returns. But remember, tax returns matter most in a business valuation. The reasons for this are many, but just a few are: Tax returns are many times on the cash basis for smaller businesses since cash basis earnings […]
Transactions
Taxes are an Investment (When Selling Your Company)
We all hate paying taxes. Why would you want to pay more taxes at any time for any reason? Selling a business and borrowing money (which most times the two are tied together) are both cash flow related. Buyers of companies value cash flow. Banks and other lenders value cash flow and the buffer it […]
Why Now is the Time to get a Business Valuation in Florida
Cash flow is a Fact. Net income is just an Opinion…
Cash flow is a Fact. Net income is just an Opinion… I wish this was my quote. But alas, it is from my friend Pablo Fernandez, Professor of Finance at the IESE Business School in Madrid, Spain and his forthcoming book “Valuation and Common Sense (4th ed.)”. Remember, any company can show a profit and […]
Value Plan | Affordable Business Appraisal
The Value Plan is our Affordable Business Appraisal designed to give you a quick and low-cost method to value an operating business. It is intended for shareholders buying in or out of a business, and for business owners who just need a solid, competent number. Features Include: Quick Low Cost Starting at $3600 Suitable for: Exit […]
Business Exit Strategy Steps
What are the steps to Exit Business ownership and the strategy involved? A Business Appraisal is a critical part of the the strategy execution but it is only one of many actions. From our sister company Bankers Advocate, here is a list of the steps for a successful exit from Business Ownership: How We Sell […]
Business Exit Strategy and Company Valuations
Business owners often ask themselves and their trusted advisors if they need to spend money on a preliminary business valuation as part of their business exit strategy and if it is a worthy expense. The answer is definitely yes. It is very important to know the value of a business. During Exit Planning, the future […]
Value Your Florida Business
Undercapitalized Company, 900% Growth, $5mm Sales, Founder 100% – Pay for a 5%?
Here’s an interesting little Valuation project in which we considered several growth scenarios and eventually found a value that everyone was comfortable with. The Company hired a new CEO last year, and will grant 5% of its common stock to the new CEO. The question is, what is the value of that 5%? Jonesco imports […]
Appraise My Business (Part 1)
Two Factors Driving More Business Appraisal Activity Appraise my business inquiries are ringing the phones of qualified appraisers. This comes as an encouraging sign that owners and their advisers are cautiously optimistic of increased business values in the future. In a recent survey of 252 U.S. Business Valuation experts, 70% of respondents predicted their number […]