Business Owners

A business valuation is, simply, putting a value on an interest in privately-owned business, professional practice, or asset holding company. It might relate to the company as a whole or a partial ownership interest in it.

A business valuation can be documented in a comprehensive report or it can be done on the back of a cocktail napkin. But for a business valuation to be reliable, it should involve a considerable amount of time and analysis by an experienced, credentialed professional.

For an appraisal or limited calculation, the valuation process involves the following key phases:

• • Written agreement and retainer
  • Information gathering
  • Preliminary analysis
  • Management interview and (possibly) a site visit
  • Additional analysis and report writing
  • Report delivery and follow-up discussion

In a business value growth engagement, the process involves periodic client meetings and assessments. This typically involves:

• the initial assessment of the company’s value
• benchmarking the company against its industry peers
• estimating the potential amount of value growth
• identifying opportunities for enhancing earnings
• identifying opportunities for reducing business risk
• re-measurement of business value
• updating value target and identifying new opportunities, as appropriate

We have advised businesses in nearly every state in the nation, but the majority of our clients are located throughout the State of Colorado. We help all types of businesses, but we generally refer banks, hotel/lodging companies, and pharmaceutical/medical device companies to specialists. Our clients include companies of all sizes. Let’s have a conversation to see if we’re a good fit!

A reliable business valuation requires thorough and careful analysis, and so it will take some time.  Typically, the time required depends on the purpose of the valuation and the client’s ability to promptly provide the required information.

Generally, once we have received all the requested information, we are able to deliver our report between 30 and 60 days.  Engagements requiring a quicker turn-around can sometimes be arranged.

Given the significant financial and legal consequences involved with the need for a business valuation, the business appraisal process is rarely simple or quick. This means the fee often will be significant, as they typically are when working with other highly trained professionals.

A trustworthy valuation specialist won’t be able to quote an exact fee without understanding the purpose of the valuation, the users of the report, the type of business, and other important considerations. But after a 15-20 minute phone conversation, we usually understand the nature of the project well enough to quote a fee.

Some valuation experts charge a fixed fee and others charge on an hourly rate basis. Apex Valuation usually quotes a fixed fee in order to give the client some cost certainty.

We take our clients’ needs for confidentiality very seriously. We are careful about all communications and we commit to maintaining confidentiality in a written agreement with you. Your attorney also will be able to offer some suggestions for staying “under the radar” with employees and competitors as you consider a sale.

We understand that entrepreneurs are busy people, and we do our best to accommodate your schedule and minimize the distractions. However, the valuation process will demand some of your time and attention. We need you to provide us with the needed documents and information and to help us understand “the story behind the numbers”.

We have valued full and partial ownership interests in companies in a wide variety of industries, including manufacturing, distribution, retail, construction, mining, agriculture, technology, entertainment, health care, professional services and investment holding companies. No matter the industry, your business is unique. Chances are, our experience and resources will allow us to reliably value your business.

Bryan DesMarteau has specialized in the valuation of businesses (and partial interests in them) since 1998. After spending seven years with another consulting firm, he founded Apex Valuation in 2005.

Combined, our staff has more than sixty years of experience in advising a wide variety of organizations, from family-owned businesses to large corporations.