The need for business valuation services has increased rapidly over the last several years. This need has expanded to closely held companies and their subsidiaries and divisions and to segments of public companies. Business valuations are performed to learn the true value of a company as well as being useful as a management tool.
There are many reasons for valuing a business, including the sale, purchase or merger of a company; estate and gift tax; matrimonial disputes or other litigation matters; buy-sell agreements; newly elected S corporation status; and financial reporting. A business valuation can be used to gain insight into the strengths and limitations of a business so that management can focus on areas that will provide the best return on investment.
Determining the value of a business involves analyzing the company's financial statements, budgets and projections, and the gathering of external information about the subject company and its industry. The business valuation professionals at Bevis, Eberhart, Browning, Walker & Stewart, P.C. look at all of the elements that affect value, especially risk assessment (and how risk affects value), to arrive at the true value of a business.