Business valuation services are a key component of financial strategic planning. The valuation report determines the Fair Market Value of a subject company by combining several approaches to determine an overall value.
- Asset Approach
- Income Approach
- Market Approach
Full Valuation Report
This report combines detailed analysis of the company's financials, performance ratios, it's industry and the economy and is required or may be required for:
- Estate and Gift Tax
- Goodwill Impairment
- ESOPs
- Divorce
- Buy-Sell Agreements
- Lending
Calculation of Value Report
This report involves significantly less analysis typically of only one factor of a full valuation report that is agreed upon with the company and is recommended for:
- Strategic Planning
- Determining Business Worth
What company information is analyzed?
Typically five years worth of financial statements and tax returns are needed to complete a valuation report, however, additional information may be required for a full report.
When is a valuation needed?
Business valuation reports are requested from Estate Planning Attorneys, Divorce Attorneys, or bankers and attorneys who are involved with mergers and acquisitions and for the following strategies in addition to those listed above:
- 409a Stock Compensation
- SBA Lending
- Charitable giving
- Mergers and Acquisitions
Rudler, PSC provides both full valuation reports and simple calculation reports of private companies, along with reports required for SBA lending. We can also be a strategic advisor for when you are contemplating buying or selling a business. Call 859-331-1717 for consultation.
