Company Valuations
We undertake detailed company valuations as a standalone exercise for a multitude of reasons to benefit our clients:
- Tax planning and tax clearances.
- Shareholder incentive mechanisms.
- Exit planning.
- Independent Valuations for Employee Ownership Trust transactions.
- Shareholder disputes.
- Share valuations under court process.
Company Valuations – Our Approach
Our approach to company valuations is based on our real-life experiences of not only how the financial performance affects valuation, but also factoring in all the commercial aspects associated with a business such as.
- Products and markets.
- Competitive environment in which the Company operates.
- Customer base.
- Management team.
- Intellectual property rights.
- Asset base, infrastructure and cap-ex requirement.
- Ratio of Earnings to cash conversion.
- Deal activity in sector.
Validation at every stage.
Our valuation reports comprise a “deep dive” into the quality of all aspects of a business, and its current and future expected earnings, as well as justifying the most appropriate method of valuation.
Valuation methods currently used in the market are.
- Multiple of Earnings before Interest & tax.
- Multiple of Earnings before Interest, Depreciation and Amortisation.
- Net Asset Basis.
- Discount Cash Flow.
- Revenue basis.
- Industry/sector specific methods.
Our work always ensures that different methods of valuation methods are considered and argued, so the method used cannot be open to challenge
If valuations are needed under a court process, we have experience of valuations for resolving disputes and ultimately deciding on valuations after either a mediation process or ultimately ruled on by a court.
Our experience is that, in shareholder disputes, mediation meetings and court cases, our advice is taken as more relevant than that of other experts, as our opinions come from our real-life experience of how businesses are valued in trade sales, Buy-In and Buy-Out transactions and Private Equity deals, as opposed to the “textbook”, as is often the norm.
Anyone looking for a valuation of equity in a Company, for any reason, should contact us immediately.
We are absolute experts in this field, as a market leading firm working on and seeing valuations in significant volumes of real-life transactions and how they are derived.
