Conduit Consulting

What is it WORTH?

Valuation Analysis is performed to establish at a specific point in time the worth of an entire business, a subsidiary division, an intellectual property portfolio, corporate real estate or other items. The amount deemed to be the value depends on the purpose of the valuation analysis.
 
Typically, valuation analysis is done in conjunction with transfering ownership of one or group of assets from one party to another. However, determining the value of the transfer for business purposes is frequently much more complicated than when a family heirloom transfers to a benefactor upon a person’s death for several reasons, including:

  •  Liabilities attributable to the assets are also often being transferred
  •  Some assets are transferred at a premium (an amount above the cost to acquire or create)
  •  Some assets are transferred at a discount (an amount below the cost to acquire or produce)
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Additionally, many transactions’ duration occur NOT AT ONE specific MOMENT, yet OVER A PERIOD of time. In these situations, not only will the amount deemed to be the value be weighed, but also the methodology which is to be used for the recurring valuation activity will be scruntinized and negotiated.
 
There are multiple approaches to measure business value. It is important to select the approach based on the purpose of its use not only to achieve an appropriate valuation, but also make it possible for all parties to (quickly) reach agreement. When an inappropriate approach is used by any party, false expectations are established. Then, deal-makers frequently find it psychologically impossible to reach agreement.

What is the value of your business and its assets?

It depends.

Conduit Consulting LLC receives ACQ magazine Global Awards 2012. Conduit Consulting LLC recognized as Independent Strategic Adviser of the Year.

In our experience, accurately applying the valuation method suitable for the situation is critical to swiftly reach agreement between parties, regardless of whether the valuation analysis was performed to support buyout of business partner, determine stock-swap ratio, remeditate contract dispute, recover misappropriated and embezzled funds, position a company to raise capital, or for other purposes.
 
Conduit Consulting professionals led by our Corporate Development practice leader Jillian Alexander, MBA, CM&AA, CFA Institute Regular Member help our clients accelerate the deal process and expediate transfer by leveraging our deal experience determining valuation methodology and expertly performing analysis to appropriately value tangible and intangible assets, liabilities as well as economic contributions gained via business activities for purposes including:

  •  Business Planning
  •  (Re-)Capitalization (IPOs, Private Placements, Commercial Loans)
  •  Business Transactions (OEM and Licensing Agreements, Co-Development Agreements, Product Placement, Equipment Leases,
      and Facility Leases)
  •  Corporate Transactions (Mergers, Acquisitions, Buy-Sell Agreements)
  •  Corporate Portfolio Managment (Investment & Divestiture Decision-Making)
  •  Risk Management (Insurance)
  •  Litigation Support (Trade and Contract Disputes, Bankruptcy, Misappropriations, Embezzlement)
  •  Pay-for-Performance Compensation
  •  Marketing Programs (Customer Loyalty Programs, Cooperative Marketing Arrangements, Revenue-Sharing Agreements,
      Profit-Sharing Arrangements, Other Promotional Marketing Services)
  •  Financial Reporting

To learn more about our Valuations experience and related services, click on the links below:

2012 SBCA Community Best of Business Award

How might your company’s valuation approach and models be altered to increase your wealth?

To contact Conduit Consulting for Valuation advice or services, request further information about our services or receive our eNewsletter, click button and email us:

 
 
Conduit Consulting LLC  •  2530 Wilshire Blvd., Second Floor  •  Santa Monica, CA 90403 USA
Telephone: +1.310.260.9765  •  Email: info@conduitconsulting.com
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