Third-Party Opinion of Value
An opinion of value is necessary to verify a business’s current value to prepare it for sale or investment. Our analysts use the most applicable methods to calculate this based on the industry and business type.
The main methods used include:
– Comparable transactions – Looking at all available data for sales of similar businesses (both public and private)
– Discounted Cash Flow (DCF) – Forecasting future free cash flows and discounting them to present value.
– Comparable companies – Looking at public and private company financial metrics and applying them to the subject company.
– Asset-based valuation – valuing the current book value of assets or the shareholder equity of the subject company.
Our Opinion of Value report is carefully and effectively structured to provide a robust set of valuation methods. The outcome of these various methods are summarized in a football field analysis to show the mean valuation; giving a sound range – and average – of all methods used. You will receive the Opinion of Value in both PowerPoint (or other slide format by request) and Excel file with all calculations.
Our experienced team of analysts are always prepared and at the ready to tackle your next valuation project.