valleyvaluations

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𝐄𝐧𝐭𝐞𝐫𝐩𝐫𝐢𝐬𝐞 𝐠𝐨𝐨𝐝𝐰𝐢𝐥𝐥 𝐩𝐥𝐚𝐲𝐬 𝐚 𝐜𝐫𝐢𝐭𝐢𝐜𝐚𝐥 𝐫𝐨𝐥𝐞

𝐌𝐞𝐫𝐠𝐞𝐫𝐬 𝐚𝐧𝐝 𝐚𝐜𝐪𝐮𝐢𝐬𝐢𝐭𝐢𝐨𝐧𝐬 – It often explains the premium paid over the net asset value.

𝐁𝐮𝐬𝐢𝐧𝐞𝐬𝐬 𝐬𝐚𝐥𝐞𝐬 𝐚𝐧𝐝 𝐭𝐫𝐚𝐧𝐬𝐢𝐭𝐢𝐨𝐧𝐬 – Buyers are willing to pay more for a business with strong enterprise goodwill.

𝐅𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥 𝐫𝐞𝐩𝐨𝐫𝐭𝐢𝐧𝐠 – Under accounting standards (e.g., IFRS or GAAP), goodwill is recognized during acquisitions and subject to impairment testing. 𝐑𝐞𝐚𝐝 𝐦𝐨𝐫𝐞 about Goodwill assessment

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Elaine's Valuation | Undercover Billionaire

In the season finale of #UndercoverBillionaire, Elaine Culotti pitches her case to the valuators. Will they agree that she’s created a business worth almost two million dollars?

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Business Appraisals and Valuations Experts

Valley Valuations is a team of certified Financial Advisors that provides company valuations, business appraisals, investment banking, exit planning services etc. in Central Valley of California. For more info visit https://www.valleyvaluations.com/valuation-services/business-valuation-services/

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Business Valuations and Exit Planning Experts

Valley Valuations is a team of certified Financial Advisors that provides Company Valuations, Exit Planning and Transaction consulting services in Central Valley of California. for details visit https://www.valleyvaluations.com

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Valley Valuations is the a professional business broker organization focused on client needs. Want to Sell a Business in Fresno CA? Valley Valuations is Business Selling Expert who can help you get best value for your business.

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Should I Hire an Advisor to Help Sell My Business?

This can be a complicated question. However, the best way to answer this question is with another question: Would you do your electrical repairs yourself? Would you do your plumbing yourself? Would you do your taxes yourself? Would you sell your house yourself? Would you do your dental work yourself?

Years ago, there was a commercial done by TurboTax. In the commercial, the owner of the home walks into his house as a plumber is finishing some repairs. The plumber greets the man and there is an awkward pause. The plumber reveals himself to be the person who did the home owner’s taxes last tax season. The man looked at the plumber and said, “I thought you were a tax expert?”. The plumber responded with, “Today, I’m a master plumber”, and promptly begins to laugh…

The point was simple, don’t trust something important to someone who really isn’t qualified to help. Seek a professional.

So back to our question, should you hire an Advisor to help you sell your business? Well, at the very least, you must hire a competent attorney and accountant. But an Advisor can do more. They act as a guide; someone who helps explain concepts, strategies, and ideas. Someone who spans the sale process and provides services that help you complete your transaction.

It’s important to remember that ultimately, someone must do the work to push the deal forward. There’s a lot of data to produce and decisions to make. You’re going to need help. As a busy business owner, with a busy staff, could you add an extra 10 to 20 hours a week of “extra” work for several months in order to produce and deliver information buyers may request?

What needs to be done? Well for starters, an Advisor can…

1.      Find, vet, and rank potential buyers. Field their requests, schedule phone calls and site visits

2.      Gather and organize a complete company history

3.      Gather and organize detailed financials stretching back at 5 years, customer contracts, vendor contracts, employment agreements, legal actions (threatened or pressed), and real estate agreements

4.      Create marketing pieces and organize presentations for potential buyers

5.      Negotiate the deal, including the business decisions for the letter of intent, the subsequent due diligence, and final paperwork

6.      Proactively push the deal forward to close within a reasonable time frame.

7.      Assist with the legal contractual drafting process

8.      Entertain buyers and renegotiate offers to get the best deal possible

So do you need to hire an Advisor? Ask yourself this question:

Do I feel comfortable navigating these areas above with little or no assistance?

If so, you probably don’t need an advisor. However, if you hesitated, you may need some level of advice. And that’s okay. The most important thing is that you get qualified assistance when you need it. Don’t force yourself to take on a task that you’re not qualified to handle. If you try to be the “tax expert” and you’re really the “Master Plumber”, you’ll only disappoint yourself and possible harm the deal.

Great Advisors have a thorough understanding of each company they represent. They spend time building trust and giving understanding. They present opportunities honestly. They prepare their clients to understand the challenges of selling their businesses and help them develop realistic expectations. Most importantly, they try to find the “right buyer” to make sure the sellers feel comfortable about the transaction.

If you’d like to discuss how we can help sell or prepare your company for sale, please contact us for a free consultation.

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Exit planning takes time. Selling a business takes time. Most owners are shocked to hear that a business can take between 6 to 15 months to sell. And that time frame is only referring to the selling process, not the exit planning process. The exit planning process can take up to several years to successfully complete.