Exit Planning - Increasing Business Value

Only for businesses with revenue between $1 million and $100 million

Exit Planning - Exit Planning - Increasing business value and removing obstacles

Only for businesses with revenue between $1 million and $100 million

Our primary focus is to increase the “acquisition attractiveness” of your business, and use that as a “hook” to attract buyers to come to you. You are in a much better position by doing this, as opposed to spending your resources on “trying to sell your business like a used car salesman”.

Funded buyers (often private equity groups or large competitors) are typically always looking for good businesses to acquire, while unfunded buyers are the ones you will find various online market places with businesses for sale.

You improve your chances of a successful cash exit the most, by being “acquisition ready”, and attractive enough, to be found in the first place.

There are endless factors that can be improved, but there are usually two that always stand out, in every acquisition. Those are profitability and dependence on current owner. That is where we spend ¾ of the effort and focus on. All remaining factors, get roughly ¼ of the effort and focus in our exit coaching.

We don´t work with mindset coaching or sales coaching. We only offer exit planning coaching in Texas, and it is done Christoffer Nielsen himself.

In the unlikely event that you wouldn´t succeed in making your desired exit, increased profitability, and reduced dependence on you as the current owner are never bad investments.

Business valuation is the process of determining the most likely value of the business, in a transaction, where both parties are equally motivated to transact. A qualified valuation of a business should be according to the concept of intrinsic value and include an unbiased normalization of the financial statements. The final calculation of a business appraisal is fairly simple and quick, which is typically what you only get, when ordering an online valuation, without an on-site visit. The process of normalizing the financial statements along with weighing in the different valuation methods against each other, is what requires the most amount of time and competence, by the business valuator. The normalization of the financial statements is typically what affects the valuation the most. A company valuation should only be considered as reliable when it is properly independent and unbiased.

The most common methods for valuing a company are; the market approach, the income approach and the asset approach. They all have their strengths and weaknesses, and their own subcategories. No valuation method is complete enough, to solely be used to value a company.

The market approach doesn’t properly weigh in the profitability or assets of the company, which arguably are the most central aspects when valuing a business. Therefore, most valuations according to the market approach, are not of intrinsic value.

The income approach doesn’t take the assets that the company owns, into account. Therefore, companies with lots of assets get deceptive valuations.

The asset approach doesn’t take the profitability into account. Therefore, profitable businesses get deceptive valuations.

Want to go with a cheaper option or even do the valuation yourself?
Nothing is stopping you, but...

You may lose the lawsuit, due to the valuation failing to be waterproof.

You may never settle the conflict, hurting the relationship with your counterpart.

You may get deceived while entering or exiting your partnership.

The contact form does not work, please email christoffer@nielsenvaluationgroup.com

Christffer Nielsen, cell phone (737) 232-0838