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Cap Val Logo

Determining The Value
Of Your Business – It’s
Not About A Multiple

Many business owners and advisers think you can apply a multiple to a number on the income statement to complete a business valuation. Yet, the income statement was never intended to reflect value.

To accurately value a privately owned company you have to look under the hood—learn about the company’s brand, clients, reputation, employees, culture, and capacity to grow or improve, along with a number of other factors.

Determining The Value
Of Your Business – It’s
Not About A Multiple

Many business owners and advisers think you can apply a multiple to a number on the income statement to complete a business valuation. Yet, the income statement was never intended to reflect value.

To accurately value a privately owned company you have to look under the hood—learn about the company’s brand, clients, reputation, employees, culture, and capacity to grow or improve, along with a number of other factors.

Capital Valuation gets at “the story behind the numbers”. We develop valuation and economic models to reach meaningful conclusions that help you make informed decisions.

We break down complex topics in a way they find useful. You can understand the story behind what your numbers mean, and learn about best practices and potential implications for today and the future.

If you’re selling your business, buying a business, are proactively doing business succession planning, have pending litigation or because it is required for your SBA loan application, we can help.

We want you to understand your valuation and feel comfortable asking questions so you can move forward and make change happen.

During the valuation process we:

  • Analyze and understand historical trends
  • Identify forward-looking capacity
  • Develop assumptions for future financial business plan
  • Develop what-if scenarios
  • Arrive at conclusion of value
    Communicate conclusion of value

Cap Val’s Process

At Capital Valuation Group, we offer a comprehensive and flexible valuation process typically completed within six to eight weeks. We pride ourselves on accommodating urgent client needs without compromising quality. Here’s a high-level overview of our process:

1
Initial Consultation & Scope Definition

We’ll kick things off with a discussion to understand your needs and outline the scope of work.

3
Preliminary Research

Our team conducts initial research based on the information provided.

5
CapVal Analysis

We begin our expert analysis of your company’s financial situation.

7
Completion of Analysis

CapVal finalizes the comprehensive analysis.

E
2
Engagement & Documentation

You’ll receive an engagement letter along with a list of necessary documents.

4
Management Meeting

We meet with your management team to discuss the company’s history and future outlook.

6
Financial Review with Management

We’ll review the financial analysis and projections together.

8
Final Review

A concluding meeting is held to discuss the valuation results.

Learn More about Capital Valuation’s Valuation Process

Our process is designed to deliver precise and reliable valuations, ensuring you have the insights needed to make informed decisions. Schedule a complimentary consultation to learn more based on your specific business situation.

Cap Val’s Process

At Capital Valuation Group, we offer a comprehensive and flexible valuation process typically completed within six to eight weeks. We pride ourselves on accommodating urgent client needs without compromising quality. Here’s a high-level overview of our process:

1
Initial Consultation & Scope Definition

We’ll kick things off with a discussion to understand your needs and outline the scope of work.

2
Engagement & Documentation

You’ll receive an engagement letter along with a list of necessary documents.

3
Preliminary Research

Our team conducts initial research based on the information provided.

4
Management Meeting

We meet with your management team to discuss the company’s history and future outlook.

5
CapVal Analysis

We begin our expert analysis of your company’s financial situation.

6
Financial Review with Management

We’ll review the financial analysis and projections together.

7
Completion of Analysis

CapVal finalizes the comprehensive analysis.

8
Final Review

A concluding meeting is held to discuss the valuation results.

Learn More about Capital Valuation’s Valuation Process

Our process is designed to deliver precise and reliable valuations, ensuring you have the insights needed to make informed decisions.

Even if you are not considering selling your business or facing an immediate legal need for a business valuation, regular updates to your valuation can ensure your strategic and day-to-day decisions are supporting your long-term goals.

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Customer 1
"
The team at Capital Valuation Group provided us with a thorough and professional analysis that went beyond just the numbers. They helped us understand the critical value drivers of our business, offering clarity on areas of growth and potential opportunities. This level of insight was invaluable and empowered us to make more informed decisions about our company's future.
"
- Business Owner
Customer 2
"
Our business has several variables that could be seen as dynamic or confounding. The team did a great job distilling those down to give us not only a solid understanding of the value of the business, but also the real-world implications of those variables and what it means for value.
"
- Business Owner
Customer 3
"
We were so impressed with the process that when we needed an update to our valuation... we immediately turned to Capital Valuation each time. They explained everything in easy to understand terms and worked with us to be sure we were making the right projections and assumptions for our business.
"
- Business Owner
Customer 4
"
The people at Capital Valuation exhibited a deep knowledge and professionalism that drew me to pursue a formal valuation. That process helped me understand and value my unique business, and I have been able to use that knowledge to continue growing while knowing my worth.
"
- Business Owner
Customer 5
"
During two valuations... we learned what makes up the total valuation of our company and how decisions have increased to valuation and our bottom-line success.

It also gives us the confidence that the new ownership group will not be burdened with debt that is unsustainably high.

I highly recommend Jane and her team at Capital Valuation Group.
"
- Business Owner
Customer 6
"
Our Brewery’s transition to ESOP ownership required experience and expertise. Cap Val. walked us through each step. Financial partners, minority investors and employees were all brought on board with no nonsense explanations. Every question was answered, every challenge was gracefully met.

Our experience, with them, has been one of personal commitment that is evident and a rare commodity. If you are considering a company valuation, for any reason, you will not find a more respected and pleasant partner.
"
- Business Owner
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