Determining a business enterprise valuation is a complicated process that requires scrutinizing and assessing a wide range of assets and influences.
Each business contains a varying mix of these factors, which may include tangible property such as equipment, vehicles and real estate as well as intangible aspects such as the projected ability to succeed in the future.
Additionally, the value of a company is offset by the total debts owed to creditors. Any dominating trends in the industry or fluctuations in the local economy may also affect the final determined value. Our experienced team includes MAI designated appraisers who know how to navigate these intricacies, allowing us to provide an accurate picture of the fair market value to our clients.
Factors that Affect the Value of a Business
While all valuations begin with this appraisal of real estate, equipment, assets and debt held by the company, there are many more influences that must be taken into consideration. For example, the value of a successful business where the owner feels no immediate need to sell his or her interest is very different from the value of a struggling business that needs to sell quickly to pay off creditors.
In some circumstances, the value of a company to a potential investor is usually based upon the projected long-term potential of the business to make a profit. In contrast, the value of a business facing closure is only as high as what the assets will bring quickly in a forced liquidation.
Why You Need a Business Enterprise Valuation
There are many scenarios that necessitate obtaining a definitive value of your business. Whether you are buying or selling a business, looking to obtain financing or facing taxation issues, having an accurate business valuation at the ready is an incredible advantage.
Other instances that benefit from an accurate business valuation include setting up Estate Planning, Limited Partnerships, Trusts or Property Partitions. No matter what the reason behind your need for a thorough business valuation, you can trust the team at Paramount Property Analysts to provide reliable services.
Call Paramount Property Analysts for Accurate Valuation Services
When you’re ready to discuss the details of buying or selling a business, give us a call. Our team is ready to help.