The COVID-19 pandemic has affected businesses globally in various ways — both positively and negatively. For the businesses who were hit hardest, look no further than your tangible assets as a lifeline to ride out the storm from the pandemic. Todd Taylor, CMEA, Valuation Analyst & Jason Pagan, ASA March 9, 2021 Over the last […]
Business Valuations are critical for sale, transition, and business planning Steve Mize, ASA, November 18, 2020 If you are an entrepreneur or business owner, understanding business valuation, why, and when you need one is essential. Here’s a quick rundown of what you need to know about valuation, and the process you might expect to encounter […]
Business Valuation Process Varies By Need Darren Mize, ASA December 1, 2020 What’s driving the request for a business valuation? Different circumstances call for a more – or less – comprehensive business valuation. Your specific need will determine both the timeline for a final report and the actual process a business valuation professional will follow. Different […]
Understanding the Business Valuation Equation Steve Mize, ASA, January 6, 2021 GCF was engaged to value a pharmacy and the lender quickly explained how “strong” the deal was even stating: “This is a slam dunk!” So, we began the due diligence process and immediately discovered: If there’s a conversation underway about requesting a business valuation, the […]
Professional Expertise, Insight, and Industry Experience Bring Crucial Context Darren Mize, ASA January 7, 2021 GCF was engaged to value a pharmacy and the lender quickly explained how “strong” the deal was even stating: “This is a slam dunk!” So, we began the due diligence process and immediately discovered: Whether you are a business owner, a lender, a […]
Darren Mize, ASA, September 15, 2020 Let’s review the 3 approaches to value: Cost Approach Market Approach Income Approach The Cost Approach The Cost approach relies on the business’s balance sheet. So, unless the company is heavily invested in assets this approach is rarely used. The Market Approach The Market approach relies on comparable business […]
Steve Mize, ASA September 1, 2020 One of the most challenging aspects of valuing a small business is the use of Income Statement Adjustments, otherwise known as “add-backs”. For smaller businesses add-backs are common, but can they be verified? Add-Backs – The Questions We’re Asking • Can the expense being added back be traced back […]
Jason Pagan, ASA How is revenue being booked on contracts? The short answer: When accounting for contractual work, how revenue and expenses are booked on time-based projects (that span longer than 60 days) will have a direct reflection on cash flow and business value. Why is this question critical to the value of the business […]
Steve Mize, ASA September 15, 2020 GCF was engaged to value a pharmacy and the lender quickly explained how “strong” the deal was even stating: “This is a slam dunk!” So, we began the due diligence process and immediately discovered: Profit margins well above the industry average. Initial thoughts suggested “compounding” (which typically carry a […]
