by Lisa Holton (Author)
Buying or selling a business? Acquire the tools and learn the methods for accurate business valuation
Business valuation is the process of determining the value of a business enterprise or ownership interest. Business Valuation For Dummies covers valuation methods, including advice on analyzing historical performance, evaluating assets and income value, understanding a company's financial statements, forecasting performance; estimating the cost of capital; and cash flow methods of valuation.
Written in plain English, this no-nonsense guide is filled with expert guidance that business owners, managers at all levels, investors, and students can use when determining the value of a business. It contains a solid framework for valuation, including advice on analyzing historical performance, evaluating assets and income value, understanding a company's financial statements, estimating the cost of capital, business valuation models, and how to apply those models to different types of businesses.
Business Valuation For Dummies takes you step-by-step through the business valuation process, explaining the major methods in an easy-to-understand manner with real-world examples. Inside you'll discover:
- The value of business valuation, including when it's necessary
- The fundamental methods and approaches to business valuation
- How to read a valuation report and financial statements
- The other players in the valuation process
- How to decide you're ready to sell -- and the best time to do so
- The three stages of due diligence: the meet and greet; the hunting and gathering; the once-over
- How to decide you're ready to buy -- and find the right business for you
- What due diligence means on the buying side of things
- When to call in the experts: divorce; estate planning and gifting; attracting investors and lenders
This is an essential guide for anyone buying a business, selling a business, participating in a merger or acquisition, or evaluating for tax, loan, or credit purposes. Get your copy of Business Valuation For Dummies to get the information you need to successfully and accurately place a value on any business.
Front Jacket
Your hands-on guide to calculating -- and understanding -- business value
Want to determine the value of a business, but not sure where to start? This plain-English guide gives you step-by-step directions for the major valuation methods, supporting them with real-world examples. You'll work with easy-to-understand valuation models and apply them to different types of businesses to achieve the fairest, most affordable valuation solution.
- Business valuation 101 -- learn what it is, why it's a challenge, and the approaches that experts take to uncover value (or the lack of it)
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Grasp key valuation tools -- understand valuation reports, financial statements, and rule of thumb guidelines for specific businesses
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Get to the heart of it -- analyze historical performance, evaluate assets and income value, and estimate cost of capital
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If you're selling a business -- see how to conduct due diligence and increase your company's value
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If you're buying a business -- incorporate valuation into the necessary prep before negotiation
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Seek help from the experts -- from divorce to estate planning to attracting outside investors, know when and why you should get outside valuation help
Open the book and find:
- Real-world advice on planning and executing valuation
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The role of the supporting players in the valuation process
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Detailed case studies on buying and selling businesses
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How forensic accounting fits into valuation
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The soft and hard skills needed for successful valuation
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What to build into a partnership agreement
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Why you should pause before transforming your company into an ESOP
Back Jacket
Your hands-on guide to calculating -- and understanding -- business value
Want to determine the value of a business, but not sure where to start? This plain-English guide gives you step-by-step directions for the major valuation methods, supporting them with real-world examples. You'll work with easy-to-understand valuation models and apply them to different types of businesses to achieve the fairest, most affordable valuation solution.
- Business valuation 101 -- learn what it is, why it's a challenge, and the approaches that experts take to uncover value (or the lack of it)
- Grasp key valuation tools -- understand valuation reports, financial statements, and "rule of thumb" guidelines for specific businesses
- Get to the heart of it -- analyze historical performance, evaluate assets and income value, and estimate cost of capital
- If you're selling a business -- see how to conduct due diligence and increase your company's value
- If you're buying a business -- incorporate valuation into the necessary prep before negotiation
- Seek help from the experts -- from divorce to estate planning to attracting outside investors, know when and why you should get outside valuation help
Open the book and find:
- Real-world advice on planning andexecuting valuation
- The role of the supporting playersin the valuation process
- Detailed case studies on buyingand selling businesses
- How forensic accounting fits intovaluation
- The soft and hard skills needed forsuccessful valuation
- What to build into a partnershipagreement
- Why you should pause beforetransforming your company intoan ESOP
Author Biography
Lisa Holton is a former business editor and reporter for the Chicago Sun-Times. Today, she heads The Lisa Company, a writing, editing, and research firm. She's a writer for corporations, colleges, and nonprofits nationwide, and has written more than 13 books.
Jim Bates is Vice President, Transaction Support, for the Christman Group, a middle-market investment banking firm based in Palatine, IL