How to Value a Business

Measure your business value in five steps

ValuAdder simplifies your business valuation through an easy-to-follow 5-Step process:

• Start with your company’s financial statements.
• Make a few easy adjustments to reveal the true earning power of the business.
• Choose your business valuation tools.
• Enter a few numbers.
• And calculate your business valuation results instantly!

Business valuation: quick, easy and accurate

Business valuation has never been easier. ValuAdder lets you choose your business valuation tools with a click of the mouse. Just type in your information. View your results. Then create a report!

Unsure how to start your business valuation? Not a problem. ValuAdder offers you helpful hints and tips every step of the way – from gathering the information you need to calculating your business value. Find answers quickly and get professional quality results – in minutes!

Determine business fair market value

Is it important for you to know the business fair market value? If so, compare the business against the business sale comparables by industry.

ValuAdder Market Comps are powered by the in-depth analysis of over 20,000 real-world business sales. Use these market facts to set a competitive asking price for the business or put together a compelling offer.

Calculate business value based on its earnings

The Multiple of Discretionary Earnings method in ValuAdder offers you a powerful planning tool. You can easily calculate what the business is worth today. Just enter the business earnings, and score the business across the 14 key financial and operational performance areas.

You can also spot opportunities for improvement and develop an effective action plan to grow the business worth.

Evaluate business goodwill

If you need to estimate business goodwill, ValuAdder gives you the classical Capitalized Excess Earnings method. Used by the US Treasury Department since the 1920s, this well-respected method lets you easily calculate the business goodwill and total business value.

Estimate business value based on income and risk

Are you preparing your business valuation for an investor meeting? Consider the powerful Discounted Cash Flow method in ValuAdder – the industry standard for professional business appraisal. Now you can demonstrate what the business is worth convincingly in front of the most demanding investors, including angels, venture capitalists and lenders.

Put together a successful business sale or purchase

Are you in a hurry and need to compare a business purchase offer and counter-offer? Not a problem – just open two ValuAdder windows side by side. Enter the deal terms. Calculate the cash flow required to make the deal work. Then pick the winner, print out your results or email them.

Business valuation Learning and Information Center

As you do your work, help is just a mouse click away. ValuAdder Learning and Information Center is a powerful resource full of essentials on business valuation and tips on how to structure a successful business sale.

You can find the explanation of an unfamiliar term in the Glossary. Or Consult the Tutorials on the business valuation techniques. Pick up a useful tip and see the examples on how to do your business valuation like a pro – without having to be one!