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Your Business Valuation and Asset Appraisal Experts
Your Business Valuation and Asset Appraisal Experts
Schedule Your Appointment Today
1-949-598-0986

About Business Valuations

NBA offers options to fit every valuation need - be it big or small, we have an option that will work for your company's needs

Business Valuation Options

National Business Appraisers Offers Five Valuation Options

MicroValuation - $550

The client will receive statistical ratios for three sets of data that include Biz comps, Pratt Stats, and the Business Reference Guide, from which, a four ratios or multiples will be derived. Within the spreadsheet, these multiples are applied to either the company's EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) or the SDE (Sellers Discretionary Earnings) to derive a value for each data source. A fourth spreadsheet column is added to reflect the average of the three multiples. A fifth column is added to reflect other additions or reductions in value that will help or hurt the determined values or averages. The owner can then derive the worth of his or her business and can update the values by changing the SDE or EBITDA with the outcome of due diligence or for "what if" scenarios. For more information on MicroValutions please visit www.MicroValuations.com.

Determination of Cash Flow - $500 to $1000

Determination of Cash Flow is an add-on to a MicroValuation. The Cash Flow is usually determined by the client's CPA or by the client themselves. If the client does not have a CPA to calculate the Cash Flow or the client is not capable of determining the Cash Flow themselves, this add-on is required. In preparing this analysis, the analyst will help determine the company's cash flow, SDE (Seller's Discretionary Earnings) or EBITA (Earnings Before Interest, Taxes, Depreciation and Amortization). This Cash Flow will be determined using the company's source of records including their Profit and Loss statements and/or company tax returns. This information will be analyzed and adjustments will be made to determine the true Adjusted Profit/Cash Flow/SDE/EBITA of the business. This information is then entered into the two spreadsheet to determine the value of the business based upon the three aforementioned data sets plus the average.

Broker Opinion of Value - from $2500 to $3,500

The Broker's Opinion of Value (BOV) is an in-house restricted use report. It is exactly what the title indicates: a Broker's opinion of the business's value. The BOV is actually a "Calculation of Value". It constitutes a very short summary report with limited data that includes, recalculation of the company's balance sheet and income statement ("Determination of Cash Flow/SDE/EBITA"). The data from the two aforementioned statistical spreadsheets utilized in the MicroValuation will be utilized in the BOV. While there is more robust data and analysis involved than with a "Conclusion of Value" under USPAP, the BOV is limited in nature and does not rise to the level of a full valuation created under the NACVA or USPAP standards. The BOV's intended use is for buyers and sellers to determine value utilized for selling or buying a business. It is more extensive and requires more work and analysis and therefore costs more than a MicroValuation.

USPAP Valuation - from $3,500 to $20,500

This report is governed by the reporting standards of professional organizations that are in basic agreement upon the level and extent of research and analysis that must be performed in order to render the official report as a professional with the stated "Conclusion of Value". The information needed includes: company nature, background and history, historical financial reports, owner and management compensation, industry, economic and market research, financial benchmark, industry risk and specific company risk, and other related data. The analyst will attempt to value the entity under all three approaches: Cost, Income and Market. The analyst will then reconcile the three approaches and related values and will then apply appropriate discounts for Lack of Control and Marketability, etc., (if applicable) in order to render a "Conclusion of Value". This written report is what is accepted and required by courts and the IRS and is the basis for expert testimony.

"Lance is highly experienced professional extremely knowledgeable in all aspects of business valuation, bus-iness sales, & business economics."
Warren Hoppke,
SRPA, SRA, ASA

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