Business valuation is both an art and a science, where we balance the perceptions and expectations of business owners and potential investors. Although there are common shorthand methods to calculate business value for mergers and acquisition or liquidation, simply applying data to a common business value calculator only generates theoretical figures that may not be practically redeemable under market conditions. On the other hand, you want to be sure that your business valuation is accurate and appropriate instead of being held to a buyer’s market.
Businesses are commonly sold through brokers, marketplaces and for bigger companies, investment banks. Marketplaces are online transaction platforms for small private businesses to be sold directly by the buyer, while brokers handle the sales of small to medium sized companies. Investment banks handle the sales and mergers of large listed companies. Regardless of the level of business and means of sale or merger, independent, verifiable and reliable valuation is instrumental in any successful transaction, partnership or investment.
We take pride in our experience, technical expertise and familiarity with international standards of business valuation.
Valuation services initially take into account factors such as a company’s assets, debts, key interests, legal history, underlying assumptions, goodwill, customer base and profitability. Every business is unique, and a proper assessment requires that the value and importance of all these factors are properly calculated and adequately emphasized.
Making a successful sale, merger or acquisition ultimately depends on finding an able investor who agrees with your valuation. Market value might differ from an owner’s expectation based on their own valuation of their business, even if only because of the availability of investor financing. Smaller businesses should focus on the value of their assets and goodwill. The fair market value of your business reflects its value to the average investor, while investment value reflects the value to a specific investor. The intrinsic value of a business measures profitability and assesses the business model and market, using both objective and subjective means.
It is important to measure the intrinsic value against market value in order to properly evaluate offers. Finding common ground with investors involves skillful evaluation and projections, for which you should seek professional business valuation services. Our personalized and coordinated tax and fiscal services assure your success from every angle.
An evaluation from us can give you an up to date market value based on all relevant factors- reports are confidential, and we can help you identify and amend any potential weaknesses so you can approach the market from the strongest possible position. Whether you are staring a new enterprise, seeking to restructure or planning your expansion, we are all ready to help. We have over 50 years of experience and numerous success stories over the years. Don’t hesitate to contact us with any business valuation enquiries and questions about valuation of private companies.
10/F., Guangdong Investment Tower,
148 Connaught Road Central,
Tel: +852 2541-6632
Fax: +852 2541-9339
Suite 1206, Jing’an China Tower,
1701 Beijing Road West,
Jing’an District, Shanghai, PRC
Tel: +86 21 6289 8813
Fax: +86 21 6289 8816
Flat D, 11/F, Yueyun Building,
3 Zhongshan 2nd Road,
Tel: +86 20 8762 0508
Fax: +86 20 3762 1108
Suite1715, Building B,
Vantone Financial Center,
No.2 Fuwai Street, Xicheng District,
Beijing, PRC 100020
Tel: +86 10 6591 8087
Fax: +86 10 8599 9882
20 Rue Cambon
75001 Paris, France
Tel: (+33) 1 44 50 40 55