Regulatory requirements, finances and growing pains can make it difficult to understand your business's value. And knowing value is crucial for dispute resolutions, acquisitions, exit-planning strategies and wealth management.
That’s why it’s important to understand business valuations.
What is Business Valuation?
Business valuation is an independent appraisal of your company’s worth as well as how much it could potentially sell for. In other words, business valuation is the process of determining the economic value of your company.
Knowing an accurate value for your business impacts not only your current financial well-being, but also informs future exit strategies. Valuations allow business owners to have an estimate of the worth of their company and see how the market and investors view their company. This type of market intelligence allows organizations to see the value of their company and its assets. Further, valuations also prepare organizations for triggering events, such as bankruptcy or loss of key employees.
Why Hire a Valuation Professional?
Valuation professionals understand your business and what drives value, and they'll identify operational inefficiencies to create a stronger cash flow.
By conducting annual or periodic valuations of your business, shareholders will know and better positioned to grow the value of your business throughout its lifecycle.
Why Choose Eide Bailly for Your Business Valuation Needs
Eide Bailly knows the right tools and the right team make a difference. That's why we combine our financial expertise and deep understanding of the marketplace with the most effective data and resources to deliver results. Our big-firm resources and small-firm feel ensure you have the best of both worlds—the best tools and the best people.
The personal touch and extraordinary effort the Eide Bailly team put forward has far exceeded our expectations and any experiences we've had with past CPA firms. "
As a shareholder, you deserve to have confidence in the value of your business interests and peace of mind knowing that these interests are protected.
A valuation professional can help determine a fair price for shares, whether a partner or shareholder wants to buy or sell, as well as:
Our business valuation team has the experience and knowledge to review your buy/sell agreement and provide recommendations for improvements.
Regulations for companies are growing stricter as extensive updates to new and existing guidance is rolled out. This results in more and more valuation analysis being required for tax reporting, such as:
Eide Bailly's business valuation and analytics team has the unique skillsets necessary to deliver an objective analysis for your business. We combine our financial expertise and deep understanding of the marketplace with the most effective data analysis to ensure your valuation is credible.
Now more than ever, it’s vitally important to understand your financial condition and how future decisions will affect growth and profitability. It's important to analyze your financial metrics in contrast to industry peers from private and publicly held companies.
Using specific key performance indicators, business analytics advisors help you make strategic, proactive decisions by:
Financial modeling can provide you with “what-if” scenarios to improve decision making. Our professionals can help you understand how future decisions will affect growth and profitability.
Whether you're acquiring a new business or transferring a current business, it's important to understand the real value of intangible assets and the fair value of the business in whole or in part.
A financial reporting analysis can ensure:
It is our goal to provide you with a valuation for accurate financial reporting that yields the best possible results for your business. Our team has the experience and knowledge to bring the latest insight to your specific situation and help determine how acquisitions will impact your financial reporting and your future.
The decision to transition your business is big—but necessary. Whether you’re transferring it to a family member or an independent third party, you want a smooth transition.
Transition consultants can help you:
Our approach utilizes various diagnostic assessments to understand individual and family objectives. Our team identifies succession issues that need to be considered, including emotional issues and conflicts that may act as obstacles.
Do you know how valuable your company is? Regulations, finances and growing pains can make it hard to understand the true value of your business. Knowing the value of your business is critical for successful transactions, exit-planning strategies and the general health and well-being of your business.