Valuation

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Desktop Market Valuations

Most people are aware that K&A provides valuation services in conjunction with taking a company to market and negotiating a sale transaction.  But you may not know that we offer that same valuation expertise in situations where we’re not representing the company for sale.  Whether it is for internal planning, buying out a partner or […]

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K&A Market Valuations

For whatever reason, “Back to School” often means “Back to Business” in the merger and acquisition market. This is a time of the year when we receive a greater number of inquiries from business owners interested in selling their businesses.  We’re happy to take those calls. We’re also happy to visit with business owners before […]

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‘I Sold My Business at 10X Multiple.’ A Multiple of What (and When)?

In case you missed Managing Partner Layne Kasper‘s presentation at Tech FW’s TECH Nest, this article touches on some of the topics covered. From Divestopedia *********************************** ‘I Sold My Business at 10X Multiple.’ A Multiple of What (and When)? Derek van der Plaat Takeaway: Here are some answers to the key question about what multiple […]

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Why Your Business Shouldn’t Need You

It’s easy to say but difficult to do.  But it is so often true: the less your business is dependent on you, the more valuable it becomes. From Axial Forum: ****************************** Why Your Business Shouldn’t Need You By Meghan Daniels, Axial Many founders and business owners spend decades building their companies from the ground up. […]

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Should My Accountant Do My Business Valuation?

While this article is a little harsh in its criticism of CPA valuations, it has a valid point in that they are typically not based on current market data.  There’s something to be said about a valuation opinion from a professional who knows how buyers evaluate companies and what they are paying. If you need […]

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7 Key Principles of Business Valuation

Summary of the primary drivers for business valuation.  Regarding #6, today’s marketplace is such that there are many more buyers than sellers.  Good companies that go on the market garner a higher level of interest and do not stay on the market for long. From Divestopedia: ************************************************ 7 Key Principles of Business Value By John […]

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Beyond EBIT-DA: 5 Other Factors That Affect How Private Equity Buyers Value Companies

Prospect Partners is long-time, well-respected middle market private equity firm in Chicago.  Since 1998 they’ve invested in over 110 companies, so the following article is valuable for business owners for the insight it provides into the mind of an experienced private equity investor as they communicate to investment bankers the way buyers determine a company’s […]

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5 Key Value Drivers When Selling a Company

We’re often asked, “How do you determine the multiple of EBIT-DA I can expect for my company?” This article is a good starting point for the answer.  Positive aspects of each of these five areas will increase the multiple, thereby increasing the business value. From Axial Forum. ********************************** 5 Key Value Drivers When Selling a […]

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Valuation Inflation: Middle Market Multiples on the Rise

Great information from Axial Forum.  However, I’d caution business sellers to notice that these figures are for companies with EBIT-DA over $3 million.  If your company is smaller, the EBIT-DA multiple you can expect buyers to pay will be much lower. *********************************** Valuation Inflation: Middle Market Multiples on the Rise By John Slater | FOCUS Investment Banking Deal […]

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How Patents Impact Business Valuation

Posted by David Wanetick at https://www.axialmarket.com/blog/2011/3/how-patents-impact-business-valuation/ ************* How Patents Impact Business Valuation As I often tell business leaders who attend my course, Valuing Early-Stage Technologies, valuing patents isn’t rocket science. It is much more difficult. Or to paraphrase Winston Churchill, valuing patents is a riddle, wrapped in a mystery, inside an enigma. Measuring even a well-delineated permanent […]