At FarVision, we have over 75 years of combined experience in the world of quantifying a company’s profitability to build a sound base for valuation. As part of our Seller Services we help determine EBITDA, Earnings Before Interest, Taxes, Depreciation, and Amortization, the true component to measure in valuing a business. It is the cornerstone of any successful enterprise as it requires a specific focus on all levels of revenue and expense by everyone in the company. Further, it provides a clear picture of the discretionary earnings that a business owner may expect to generate.
Increased EBITDA is the ultimate valuation measuring stick. It is an irrefutable indicator of growth that companies may rely on to improve the organization, reward employees, or invest in new markets.
- Assist lenders in determining the equity position of a potential borrower in a company.
- Support internal insurance plans, such as a Corporate Buy-Sell or Key Man coverages.
- Provide litigation support for attorneys engaged in court cases surrounding the value of a company, (i.e. partnership disputes, divorce, foreclosures).
- Sell the business to next-generation family members.
- Market the business to outside buyers, often through a merger or acquisition, to maximize selling proceeds to current owners.
- Assist in the sale of the business to current employees.
- Provide solutions to family owned businesses in any form of succession planning
Every business owner should be prepared to answer the following, are you buying or are you selling?”
~ Chris Fucci