In March, Ryan Stretmater and Jennifer Schiefert from our Forensic Accounting and Valuation Services team shared the basics of valuing a business and ways to increase the value of yours. The following are some of the key takeaways from their presentation.
Drivers of Business Value
• Products: proprietary products, strong brand, patent or trademark, early in the Product Life Cycle, diversified products
• Operations: diversified customer base, strong management team, ability to grow with current equipment, financial ratios that are near or above industry averages
• External Environment: weak competitors, healthy market share, no pending legal or government action
Six Things You Can Do to Build Value
1. Get audited financial statements (or at a minimum clean up the financials)
2. Build out management team
3. Prepare financial projections and business plans
5. Increase margins and cash flow
To watch the entire presentation on our youtube channel, click here.
If you would like us to present this topic for your group, please let us know.