Believe it or not you may have a situation where a business valuation may be helpful. Often times, business owners are faced with key business decisions without all the information they need to make that decision with confidence.
If you or another business owner you know is faced with one of the following situations, he or she may need a business valuation:
- Is developing a growth or strategic plan
- Needs more capital to grow the business
- Wants to retire or exit the business
- Has or is looking for an opportunity for acquisition or merger
- Has an employee stock option plan and a 409A compliance requirement
- Has an ESOP plan
- Has developed a special technology, trademark, proprietary process, etc.
- Has a shareholder dispute
- Is faced with a marital dissolution situation
- Is facing potential litigation or needs an expert opinion as to the value of a business or economic damages
- Wants to transition the business to family
- Just wants to know the business value
These reasons are among the many reasons you or another business owner you know needs a business valuation.
The business valuation process considers the economic, industry, and specific situation of the business. The process involves a complete financial analysis and value assessment of the business.
Because the valuation process is so involved, a qualified business analyst or appraiser is best equipped to serve the needs of the business owner.