A Business Valuation, or appraisal, can help you answer these questions and give you the ability to make an informed decision about your future plans.
These questions are routinely asked as a part of starting up or exiting your business, selling your business or buying someone else’s, passing your business to your children, separating from either your spouse or your business partner, or in the middle of a lawsuit.
The Morrison Firm follows a systematic approach to valuations which includes a comprehensive review and analysis of relevant information and industry data, and face-to-face interviews with key individuals. We strive to go beyond your current needs and can also offer specific strategies and methods to legally increase and decrease value where desired.
We have the experience necessary to provide a professional, efficient, informative and realistic appraisal of your business. All of our business valuations meet IRS standards and are performed by a qualified expert.
Business Valuation Services Include:
Buying / Selling Business
Buy / Sell Agreements
Audit Opinions – FV 141 & 142
Business Valuation & Appraisal FAQs
There are three approaches to valuing a business, Asset, Market, and Income. The Asset method is based on the value of assets of the company. The Market method utilizes sales data from other similar companies. The Income method utilizes a form of earnings either on a discounted cash flow or capitalization of earnings. A complete business valuation or appraisal takes all three into consideration even if only one is used.
How can I tell what my business is worth? I am getting divorced. How can I tell how much my spouse’s business is worth?
TMF offers three levels of business valuation / appraisal service:
Valuation consultations are comprised of gathering pertinent information for review and analysis by the valuation / appraisal expert. Then discussing the needs and concerns of the client as well as considerations of value for the matter at hand.
A Calculation engagement involves gathering information and analysis by the valuation expert. It may also involve consultations and discussions. The resulting value is calculated utilizing one valuation method and is expressed as a value or range of values.
A Valuation engagement is an extensive and in depth study of the business, industry, economy, and other factors that takes all three valuation methods into account. It results in a determination of value expressed in a full report. It is the only method of valuation suitable for admission to court proceedings or filings with the IRS.
Successfully selling a business takes planning and the right team. The team should at a minimum consist of a CPA who is also a certified valuation / appraisal specialist and an attorney. The owner will need to ensure the business is running at peak performance and be able to answer questions and interact with potential buyers and their due diligence teams. For this they need a team of their own to get information in order, anticipate buyer needs, and interact with buyers. Having good systems in place and quality information makes all the difference when attracting a buyer and their lender.