Proposed Transactions

- What's my company worth (to me)?

- What's my company worth to someone else?

- How do we figure out an initial price to start the discussion?

Value is in the eye of the beholder, and any proposed transaction inherently means at least two different perspectives of value will be in play.

When the client is the prospective buyer, the investment decision process may be aided through a comparison of the values of the subject interest using the Fair Market Value standard (the value between a hypothetical willing buyer and seller in an arm's length transaction and without synergies) and the Investment Value, or the value to the specific buyer given their projected synergies and savings. The Fair Market Value standard considers the transaction to be financial in nature, whereas the Investment Value standard allows for considering the strategic value to the specific buyer.

When the client is the seller, or two (or more parties) are involved, the valuation is developed in a manner very similar to how it would be developed for internal or corporate planning purposes; we determine a reasonable forecast based on market and industry data, industry trends, and typical operational and financial metrics among public and private/closely-held companies within the industry. Scenario analyses may be provided, though, to allow for an expanded discussion if the parties may be considering future payments contingent upon successfully achieving post-transaction milestones or performance metrics beyond the projections set forth in the normalized forecast.

Insight Valuations provides independent and objective "middle of the road" business appraisals. Like a referee performing a coin flip, jump ball or face-off, we help set the game in motion while leaving it up to the interested parties to ultimately decide their course of action.