Steps Involved in the Valuation Process

Business Appraisal Services, LLC will establish a narrow range of fair market values and will determine a mid-range value for your company. Several steps will be followed in conducting an independent appraisal of your company:

Information review

We review information about your company, including its background, website information, historical financial information, information contained in its current business plan, financial projections (if available), and other promotional literature.

Calculating a range of equity values

BAS calculates a narrow range of fair market values for the equity of your company, based on independent market data considering the following economic and financial investment concerns:

A multiple of representative earnings and cash flows based on your company's historical earnings and its current trends.  

Discounts Applicable to Minority Ownership Interests and Other Valuation Adjustments

Depending on the purpose of the valuation and the ownership percentage being valued, various valuation discounts can come into play when we are valuing a minority ownership interest:

Senior management input

Where possible and useful, we visit your company's facilities and have conversations with company management to gain an understanding of the key strengths, weaknesses, risks, and opportunities of the company, further helping us narrow the range of values.

The final report

The range of preliminary values will be independently determined by BAS and communicated to our client for the engagement.  This comprehensive report discusses the valuation methods utilized, states key assumptions, and presents the market data we relied upon in the valuation. After considering relevant feedback, BAS will issue the final valuation report.