Business Valuations and Plans

Business Valuations

Business valuation is the process of determining what a business is worth, and provide an owner or Board of Directors with the fair market value of a company or group of companies. The value is the expected price that a business would sell for. The three fundamental approaches to making the value determination are:

Asset Approach - Uses a balance sheet of assets and liabilities to determine the value
Market Approach - Looks at what similar businesses are worth in the marketplace
Income Approach - Considers the projected revenue the business is expected to generate

Business Plans

A business plan determines the vision and direction of a new company, or changes the course of a mature company to help it grow and thrive. Business plans are critical for businesses seeking funding. Key components to a business plan include:

  • Executive Summary - A mission statement outlining what you expect your business to accomplish
  • Company Description - Key information about your business, including products and services you plan to provide
  • Market Analysis - Data and statistics that show your knowledge about the industry you plan to enter
  • Competitive Analysis - How your business compares with your competitors
  • Management and Organization - Business structure and managers and/or directors who will run the business
  • Marketing Plan - How you will promote your products or services

For more information on business valuations & plans, please contact me at 928–445–0104 ext 9