Understand what your business is worth
Get a detailed, business valuation appraisal
Many business owners believe the value of their business is net profit, or gross sales, multiplied by an industry rule of thumb. However, quite often the value of a company’s intangible assets is greater than the tangible assets. Valuing intangibles requires in-depth knowledge, and a careful analysis of many aspects of a business enterprise.
As sector specialists, LINK’s business brokers are able to offer advice and insights that will increase the value of your business when it comes time to sell.
The true value of a business is based on the following elements:
Intangible Assets
- Goodwill
- Customer database
- Trademarks and copyrights
- Distribution rights
- A superior management team
- Supplier agreements
- Physical location
- Brand recognition
- Special processes
Tangible Assets
- Real estate
- Plant, equipment, furniture and fittings
- Inventories
Why use valu.LINK
Why should you seek a business valuation?
In addition to estimating the selling price of a business, the same valuation tool are often used by business appraisers to resolve disputes related to estate and gift taxation, divorce litigation, allocate business purchase price among business assets, establish a formula for estimating the value of a partners’ ownership interest for buy-sell agreements, and many other business and legal purposes such as in shareholders deadlock, divorce litigation and estate contest.
At LINK, we focus on appraising businesses for the purpose of selling assets and stock as a going concern.
The LINK Difference
At LINK our business value appraisals form part of a bigger report in which our brokers and in some cases valuers, evaluate a business and provide a details appraisal. Our Business Value Appraisal is both a provision of our estimate of a business’s worth, but also an appraisal of its positions in the market and its sale-ability.
For many business owners this provides a more rounded view of their business and not simply a business valuation, or a number against the worth of a business.
Businesses are so much more than a number
We believe that most businesses are so much more than a number and that any fair business appraisal should take into account a number of key factors and provide greater insights for the business owner than a mere number.
By providing sound advice and insights, our brokers are able to deliver achievable targets that will increase the value of a business and endeavor to increase the perceived value or worth of that business.
The 4 key elements of a LINK business value appraisal
Economic Situation
A look at national, regional and local economic conditions existing as of the valuation date, as well as the conditions of the industry in which the business operates. After all, no business operates in a silo and therefore any appraisal needs to consider the environment in which a business operates
Accounts Normalisation
Any prospective purchaser needs to know how much cashflow they can extract from the business without unduly affecting operations. Our appraisal takes several approaches to making adjustments to the accounts to deliver a fair reflection of the opportunity.
Financial Analysis
A look at the financial statements of the business, using ratio, trend and industry comparative analysis tools to deliver a more scientific report on the financial state of the business. As the largest business brokerage in the world, LINK looks at industry comparisons both nationally and internationally.
Business Market Value
There are three broad approaches to business valuation and then a number of techniques that can be used within each approach. At LINK we consider all three business valuation approaches before providing a recommendation on which to apply to a particular business.
Calculate an estimated market value of your business in just 2 minutes.
Recently sold
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$4,600,000
$670,000
$680,000
$320,000
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$180,000
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Important Information
Results generated by our business value appraisal calculator are based on the limited financial information provided by you and is to be used for example purposes. A formal business valuation must be provided by a registered chartered accountant.