Do you have what it takes to be an entrepreneur or part of an entrepreneurial management team? Though the term entrepreneur is sometimes used loosely today, it means much more than someone who came up with a good idea and found a way to make money. The child […] Read more
Most of the time when you hear about a company being bought out, there is a ripple of panic that goes through the entire company. Layoffs are expected and an entirely new management team is expected to arrive at any moment. Time studies will most likely be done […] Read more
The more valuation calculations with detailed assumptions, the easier it will be to predict company value and help with negotiations. Multiple & complex valuation models – timeliness, responsive, and reporting processes don’t have to be burdensome.
Business Valuation Principles made easy for any executive to understand with insight […] Read more
Coaching, Team Work, and The Productivity Pyramid TM
A CEO of an Employee Assistance Program (EAP) reported that 20%-25% of all people are having some life issue right now. That means many employees are currently struggling with a life issue. Life issues could include: financial problems, a […] Read more
“The right to safe and clean drinking water and sanitation as a human right that is essential for the full enjoyment of life and all human rights.” ~United National General Assembly
Water is life, yet it was recently reported by National Geographic that nearly 880 million people do […] Read more
Risk management and cost of capital go hand in hand. In fact, risk management is really based on your understanding of key elements of risk that a business must face. The cost of capital should reflect your risk appetite and the specific company risk. For some, the margin […] Read more
Zimbabwe, New York, Venezuela, California – poverty doesn’t exclude location.
The Homeless has exploded in California. California has somewhere around 12 percent of the US population living in it. But oddly enough California has one-quarter of the USA’s homeless population too. Tent cities are strung out […] Read more
Sometimes it isn’t so much about the money you give, it’s about the amount of awareness you build for a cause or a concern. Fitness enthusiasts enjoy combining fitness, sports, and recreation to inspire others to pursue a better lifestyle. The lessons learned here, are to […] Read more
DETERMINING THE VALUATION OF STOCK OPTIONS IN YOUR BUSINESS
There are two primary purposes for stock options. One is part of an employee benefits package and the other is to pay for goods and services to help companies retain cash. Both of these purposes are valuable […] Read more
Executives typically use” top-down” communication, instead of bottom-up coaching and listening. Good coaches engage the participant to bring forth ideas and ways to improve their position, activities, and skills. In a bottom-up coaching session, skills are discussed and trained. An effective coach uses the above […] Read more
Marketability Discount – “The concept of marketability deals with the liquidity of the interest—how quickly and certainly it can be converted to cash at the owner’s discretion. ”Source: Chapter 6, Fundamentals, Techniques & Theory, National Association of Certified Valuation Analysts (NACVA)
“We will define Marketability […] Read more
What are typical company goals? Almost all companies will say:
and Increase Net Income
These two goals are universally mentioned as the typical company goals.
One hundred percent of companies have a revenue goal. Most have a net income goal that is usually only […] Read more
Executives typically use” top-down” communication, instead of bottom-up coaching and listening. Good coaches engage the participant to bring forth ideas and ways to improve their position, activities, and skills. In a bottom-up coaching session, skills are discussed and trained. An effective coach uses the traits […] Read more
Things to know | changes happen every hour
November 14th, 135,000 acres have burned in Butte County, Paradise, California, 7600 residences, and 260 commercial structures have been destroyed. There is still another 15,500 structures in the path of the Raging Camp Fire (http://www.fire […] Read more
While it is true that there are several different business valuation methods, they do not have to be confusing. If you have questions about selling your business, it is wise to enlist the services of a business valuation professional who can give you sound advice as to how […] Read more
What is the Company Specific Cost of Capital?
The Cost of Capital typically used for a business valuation is the Ibbotson’s Build-up method which comprises several risk factor elements discussed in a previous article. What method or calculation do you use for your company […] Read more
The way to differentiate from your competitors is to quantify the top three answers they might provide you. For example, for on-time delivery, a quantification may be “we have a 99% on-time delivery while our competitor’s delivery time is only 90%.” Once the quantification is […] Read more
I’ve worked in valuations for decades. Many have asked me, why would you need a business valuation? For starters:
Employee Stock Option Plans.
Partial Business Buyout
Financing or Investing
Estate and Gift Tax
Tax Considerations […] Read more