A business valuation is part of every owner’s pre-due diligence process. It tells the owner what their company is worth and identifies any broken business drivers or risk factors. Ideally, this discovery is done years before a transaction. For the business owner, the benefit of the early valuation is they get a reality check into their biggest potential asset, their business.
Top 10 reasons for a business valuation before a sale:
Better understand Your Business and its growth potential
Know the value of your largest asset so you can develop a plan for Retirement
Ensure the business and your family are Properly Protected
Use the Valuation to understand which drivers will help you accelerate the value quickest
Create a Succession Plan
Pay the right amount when you Buy a business or know its value on a sale
Create Buy/Sell Agreements with business partners
Explore Funding Opportunities
Establish a Trust or create an Estate Plan – Prepare for a freeze
Understand where you stack up relative to your industry peers
Knowing the true value of your business is critical to proper business planning and achieving personal goals. Through our valuation process, part of our Value Enhancement Framework, we can help answer the questions that will lead you to make informed decisions for your future.