Step 1 - Assess: Receive an Unbiased Assessment of Your Business

With decades of experience, we know what businesses are worth and what creates value in each industry. While the marketplace will ultimately determine the selling price of your business, we take an objective approach to valuation. Our review is an unbiased, researched evaluation of your business’s worth on the open market, calculated using factors most important to buyers.

If you are considering selling your business, this will give you an idea of what your business is worth and outline any improvements you can make before committing time and effort to the sales process. If our estimation is below the value you expect, we outline steps to increase the value of your business before you go any further in the sales process.

Your Valuation will:

• Determine a range of potential values buyers will likely offer, including analysis of the gap between its current and potential value
• Analyze trends in revenue and profitability and their effect on your business’s value
• Identify, analyze, and rank factors that affect the value of your business with a list of recommendations to improve your business’s value
• Clearly identify your business’s unique selling points and potential deal-breakers
• Identify areas that need to be strengthened, and actionable steps to mitigate these weaknesses and maximize the sale price

Click here to view our Knowledge Base Article that describes our process for valuing a business

When selling your business, it’s necessary to “normalize” or “recast” your financial statements to value your business. Most business owners deduct numerous personal expenses through their business, which ultimately lowers their net income. By clearly identifying those additional “perks,” you show buyers the cash flow and income available in your business.

We will adjust or normalize your financial statements, review your business’s earnings and make numerous adjustments to your profit and loss statements to calculate your SDE or EBITDA.

Click here to read our Knowledge Base Article “Adjusted Financial Statements: A Complete Guide”

We map out our recommended process and services for Steps 2 to 4 based on our findings after analyzing your business. Our recommendations are based on who the likely buyer of your business will be, the potential value of your company, and the strategies most suitable for your industry and size of business.

This personalized report walks you through your options and helps you determine your next steps before going to market. We identify what you can improve, making your company more attractive to potential buyers. Whatever you decide, we help you make a plan and assist you through the transition. You can shelve this plan for future use or employ it immediately.

Your exit plan is broken down into the following sections:

• Value Estimate: An estimate of the current market value of your business and what should be included in the price.
• Value Drivers: A summary of your business’s positive, negative, and neutral value drivers.
• Preparation: A list of specific steps you can take to prepare your business for sale and maximize its value in the following areas: financial, operational, legal, and people.
• Marketability: A summary of the factors that affect your business’s marketability and the marketing strategies used to sell your business.
• Potential Buyers: A list of the types of buyers most likely to purchase your business.
• Marketing Strategy: A summary of our recommended marketing strategy to sell your business.
• Deal Structure: A preliminary outline of the most likely deal structure for your business, considering its size and type.

Your Assessment includes an in-depth phone review with Jacob Orosz, president of Morgan & Westfield, to discuss your Assessment. This gives you the opportunity to talk about the details of the information in your Assessment. We clearly lay out all of your options, answer your questions, and discuss your next steps. Your Assessment offers you advantages whenever you are ready for the sale.