Litigation + Valuation Perspectives

Demystifying Valuation, Economic Damages + Forensic Accounting

Valuation Services as a Management Tool

Most of your clients come to us for business valuation services because of outside requirements. They need an appraisal for tax compliance, financial reporting, or estate and gift planning among other reasons. While these are all legitimate needs you may face, you should also want an appraisal. If you’re thinking, why do I want an appraisal? Let me explain.

“Why.” When you work with a valuation analyst they are working to understand the many aspects of your business. You’re challenged to answer questions about your company, and often the questions start with why. This is the process of discovery for both you and us. We are asking questions to understand the value drivers in your business model (what drives cash flow and creates value), and you are taking a step back from your routine and refocusing your attention on the same topic; what drives value.

Perhaps there’s a reason for your existing costs and capital structure, or perhaps there are other opportunities to explore that can result in greater value. Valuation analyst’s can bring those topics to life, and illustrate for you the impact of certain hypothetical conditions or changes, all else being equal.

Ultimately you may choose to implement changes after consulting with an appraiser, or you may keep everything exactly as is for now. Either way you’re refocused on what drives value in your business. That is one great reason why you should want appraisal services.