M&A Advisory Firm Provides Reduced-Cost Business Valuation Services for Companies Looking to Sell and Divest
June 05, 2015 (PRLEAP.COM) Business News
June 5, 2015 - Deal Capital Partners, a middle-market merger and acquisition advisory firm announces the cost reduction of one of the company's core services which includes private company business valuations. The company has provided these services for clients looking for an impartial third-party look in various scenarios, including both buy and sell-side M&A, partner disputes and employee stock ownership plans. The company is now offering these services at a reduced rate, particularly for firms looking to sell in the next 12 to 18 months. "We've found that some of the most prepared companies looking to sell are those that concurrently need a business valuation," says Jake Durrant, Managing Director. "It's certainly easy to provide a business valuation as a separate ancillary service, but oftentimes it makes more sense to combine both M&A solutions and business valuations together."
The client, in this case, is benefited in a number of ways. First, the selling owner is able to view and understand what his/her business is truly worth in light of the micro performance of the company as well as the macro trends in the marketplace. What are other firms currently paying in terms of multiples of EBITDA for similar firms within the industry? In light of past deals and current buyers, including what the fundamental analysis portrays, how much would a seller expect when selling the company?
The team at Deal Capital Partners is also partnered directly with several investment management firms that can help make a good recommendation on whether the expected valuation would be enough to survive once the deal has been consummated and the money is in the bank. "We want our clients to be able to not only have an accurate understanding of what their business is worth, but we want them to understand what that value means from an estate planning perspective," says Durrant. "Our investment planning partners can help make those types of assessments."
"Every firm that is intent on selling in the next year or two should consider having an accurate business valuation performed on their company," says Durrant. Because each industry is different, valuations can vary widely between firms. And, because particular advisors may have expertise in one area above that of another, there tends to disparities in the accuracy of valuations, especially among firms that have never done a deal in a particular sector. "Our extensive network of operators gives us the upper hand in the ability to not only provide accurate company valuations, but then deliver on a higher valuation than many sellers may have initially anticipated," says Durrant. "It's a win-win for all involved."
About Deal Capital Partners
DealCapital.com is represented by a network of middle-market M&A operators across the United States with a broad base of industry knowledge and expertise. The firm has done deals in consumer products, niche manufacturing, transportation & logistics, software & technology and oil & gas. The company and its partners have helped to close more than $1 billion in transactions over the last decade.