Phase 1: Establishing Base Value
Phase 1 consists of a standard Formal Report Valuation. A typical formal report valuation takes 2-3 weeks to complete, and is typically 60-70 pages including all appendices. The report completely describes every aspect of the valuation and discusses areas of weakness and strength for the subject company.
A Formal Report Valuation is an important tool in identifying the current state and develop a strategic business plan. A professional valuation can also uncover hidden value that is not readily apparent when reviewing the tax returns of a company, as the the impact of extraordinary expenses may significantly decrease the perceived worth of a company. A valuation normalizes these issues to find the true value of the subject company.
Phase 2: Analyzing the Owner’s Goals and Select Direction
Owner goals: After a value for the company is determined, a discussion of owner goals will take place. We will review financial and personal, non-financial goals of the owner, identify methods to minimize ownership risks, and evaluate exit options. Our job is to develop multi-faceted solutions that will address and attain each of the owner’s goals. These solutions will have built-in, measurable milestones toward achieving the stated goal.
Business goals: We will also discuss the financial goals relating to the business. We will analyze the company based on nine (9) identified value drivers and discuss each in detail. Solutions will be developed and subsequently ranked in order of priority. Transaction Partners will be made available for consultation as needed during this process.
Phase 3: Timely Updates and Implementation
The goal of phase 3 is to implement the personal goal solutions developed in phase 2 as well as increase the financial strength of the company by continuing to improve the value drivers according to rank. After phases 1 and 2 are completed, we will continue offer our services, preparing timely analysis of the business by measuring and documenting increased value, demonstrating progress since the phase 1 valuation.