Valuation
What is your business actually worth?
Not the number a competitor mentioned at a conference. A range you can defend to a buyer, a lender, and your own financial planner.
What we look at
Value comes from earnings, and then from risk
Two businesses with identical profits rarely sell for the same price. The spread is explained by how dependable those profits look to someone who did not build them.
Recast earnings
Net income is normalized into seller's discretionary earnings or EBITDA, with owner compensation, one-time costs, and discretionary spending documented as add-backs.
Quality of revenue
Recurring contracts, customer concentration, pricing power, and the trend across the last three years all move the multiple up or down.
Transferability
How much of the business lives in your head, your relationships, and your hours. The less it depends on you, the more a buyer will pay.
Come prepared
What to have ready
You do not need all of this for a first conversation, but the more of it exists, the tighter the range.
- Profit and loss statements for the last three fiscal years
- Business tax returns for the same period
- Current balance sheet and a fixed-asset list
- Year-to-date financials for the current year
- A list of add-backs — personal expenses, one-time costs, above-market rent
- Revenue by customer, or at least your top five accounts as a share of sales
- Lease terms, key contracts, and any licensing requirements
Request a free valuation consultation
No cost, no obligation, and nothing is shared with anyone. Most consultations run about forty-five minutes.
Not selling yet? See how exit planning closes the gap between today's value and the number you need, or read the industry guides.