Who is Best Qualified to Value Your Business?
“Can you give me a quick indication to what my business is worth?”
“What is your company’s background in valuations?”
“Who can conduct a valuation?”
“How much is my business worth?”
These are a few of the most common questions that we get on a regular basis by clients. We understand that business owners and those who are seeking a full business valuation usually do not know what questions to ask in assessing the ability and credibility of the service provider.
You want to make sure that the business valuers are qualified and experience within the field of business valuations and who have a good track record.
We are the only company in Asia who specialises in business valuations although there are a number of different companies that can value your business too, some (us!) are better than others.
Many people first go to their accountant. There are a few points to consider when bringing them on as the person to value your business. Are they local or at least do they have a good understanding on what is happening in your location, industry and have they conducted valuations for similar businesses to yours in their portfolio?
Online business valuations.
There are a number of online business valuation tools, the challenge with these are ‘rubbish in, rubbish out.’ The results will vary depending on the quality of the information you put in, but also the rigor behind the actual calculations. For example, a business is more likely to sell for a higher value in a major metropolitan area that is booming, versus a similar sized business in a small regional town that is having it really tough. These online tools will not disclose how they calculate the value of your business, however based on the type of information that you are required to input can give you some indication of the value of your business.
Merger and acquisitions specialists.
Usually merger and acquisition specialists get involved with larger businesses. What is very important here is being clear on who they are working for and how they make their money. If you get approached by someone on behalf of another company that may be interested in buying your business it is highly likely that they are working for the potential buyer of your business and have their best interests at heart, not yours.
Our team focuses on SMEs in Asia Pacific including Singapore, Malaysia, Hong Kong, Australia and other countries like the United States. We are qualified accountants and financial analysts with a focus only on business valuations.
Contact us for a free initial consultation.