Selling a business? Buying a business?  Managing a business?

Selling a business? Buying a business?  Managing a business?

ValueThisCompany.com brings professional valuation right to your desktop in a way that is:

• Easy
• Sophisticated
• Affordable

Who is this program for?

• Business owners
  • Determine an asking price.
  • Evaluate an offer.
  • Enhance your negotiation power.  Show your analysis to the seller to show your preparation and understanding. 
  • Learn where the company’s value is or isn’t.  Once you have identified an area of weakness, you may choose to develop that further before selling.  Use this program to help determine the right time to sell.
  • Raise capital.  Show your lender how extra capital will increase the value of the company.

• Business buyers
  • Assess the value of a target company.
  • Quickly screen opportunities – identify overpriced businesses.
  • Perform what-if analysis to determine hidden value that you may or may not want to offer to the seller.
  • Enhance your negotiation power.

• Business Managers
  • Understand what drives company value.
  • Identify areas of weakness and strength within a company by learning what affects company value
  • Use as a strategic planning tool.

• Appraisers or brokers
  • Use as a quick screen or as a professional tool.
  • Prepare a professional appraisal.
  • Calculate business value based on earning power and risk.

Why ValueThisCompany.com?

• ValueThisCompany.com is ideal for valuing businesses of all types and sizes
  • It doesn’t matter how small or how large, this model uses cash flow techniques that apply for all companies.  For greater refinement, though, adjustments are made based on the target company’s size and industry.

• ValueThisCompany.com uses Microsoft Excel and is very easy to use
  • You need not be an expert Excel user.  The structure of the program is protected so you cannot accidentally harm the model.  Input cells are clearly identified and easy to see.  You can enter information in all data fields or just a few for quick analysis.

• ValueThisCompany.com is very interactive
  • Change any input and the value of the company re-calculates right before your eyes in real time.  This is a terrific way to see how any of over 200 different inputs affects the company’s value.  Enter as few or as many parameters as you like.  The more you interact with the program, the more meaningful will be the results.

• ValueThisCompany.com is very flexible
  • Since you are using Excel, you can work on your own time.  Stop at any time, save your work to your personal computer or server, and continue later at your convenience.  There is no need to visit a  website, log-in and retrieve your work—taking the chance that it got lost somehow or didn’t save properly.
  • Save multiple versions – High growth scenarios, low-growth scenarios, high or low gross margin scenarios
  • Use it over and over.  The only limitation is your hard drive space.

• Uses the same valuation techniques used by the professionals
  • Based on the Discounted Cash Flow (DCF) method, the baseline method used by virtually every professional who values companies
  • Far superior to the various shortcut methods available on the web that compare your target company to others in the same industry.  Are all restaurants alike?  Are all laundromats alike?  Are all manufacturers alike?  Of course not!  Many of these “databases” are averages over a number of years.  We all know how different the economy can be from one year to the next.  However, ValueThisCompany.com will ask you to select an industry and the relative risk of that industry is used in the valuation calculations.

• Enter data for each year
  • Simple models available on the web often ask for sales information for one year and then ask for a growth rate.  That technique oversimplifies what happens in the real world where sales do not grow at a constant rate.  Even so, you can do the same in this model if you just want a quick analysis.  Other models often don’t offer the option of being any more specific than that.

• No accounting experience necessary
  • All you need is the most recent income statement.  You also need some idea about the future of the target company.  The more informed the future projections are, the more meaningful will be the valuation results.  But even if you don’t know much about the company’s future, this model will enable you to do “what-if” analysis.
  • Get help throughout the process with any input or definition.  Also learn about many of the factors that affect company value that you won’t find on a financial statement.

• ValueThisCompany.com is affordable
  •  Professional appraisers use valuation tools much like this (maybe not as good as this one) and charge thousands of dollars. 

Note:  This tool is not intended to be a substitute for a final company appraisal performed by a professional who can help bring additional clarity to the assumptions used in a model like this.