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| business valuation based on revenue: Understanding Business Valuation Gary R. Trugman, 2008 |
| business valuation based on revenue: Business Valuation Greg Shields, 2018-04-29 Say goodbye to scratching your head in confusion This business valuation book could be the answer you're looking for... Whether you're looking to buy or sell a business, to invest in the stock market or become a business angel, or simply to get a better idea of what your business is worth, this book contains the information you need. Each type of valuation method is introduced in turn: assets based, revenue based, earnings and cash flow based, together with discounted cash flow and 'rule of thumb' valuations. This book will show you how to calculate the value of the business. You'll also learn the strengths and weaknesses of each method of valuation; where they're useful and where they are of limited value. Does that sound as if the book is a dry, mathematical text? Far from it. Business Valuation: The Ultimate Guide to Business Valuation for Beginners, Including How to Value a Business Through Financial Valuation Methods contains real examples and talks about the 'art' as well as the 'science' of valuation. You'll also get a chapter that is focused on due diligence ('kicking the tyres'). Once you've read this book you should have a good handle on how to value a business. Maybe you won't be a highly paid McKinsey consultant, but you'll have what it takes to know what a business is worth, and you'll have enough smarts to avoid the obvious traps and pitfalls, such as 'dressing up' profits. That can make the difference between selling your business at a price that funds your retirement, and coming up short - or the difference between buying a great business at a good price, or paying over the odds for a moribund company. Here are just some of the topics that are discussed in this book: Why you might need a business valuation The basic concepts behind business valuation Profit based approaches Revenues based approaches Asset based approaches Discounted cash flow Sector-specific approaches And Much, Much More So, what are you waiting for? Start your learning now by getting this magnificent book! |
| business valuation based on revenue: Valuation Approaches and Metrics Aswath Damodaran, 2005 Valuation lies at the heart of much of what we do in finance, whether it is the study of market efficiency and questions about corporate governance or the comparison of different investment decision rules in capital budgeting. In this paper, we consider the theory and evidence on valuation approaches. We begin by surveying the literature on discounted cash flow valuation models, ranging from the first mentions of the dividend discount model to value stocks to the use of excess return models in more recent years. In the second part of the paper, we examine relative valuation models and, in particular, the use of multiples and comparables in valuation and evaluate whether relative valuation models yield more or less precise estimates of value than discounted cash flow models. In the final part of the paper, we set the stage for further research in valuation by noting the estimation challenges we face as companies globalize and become exposed to risk in multiple countries. |
| business valuation based on revenue: From Impossible to Inevitable Aaron Ross, Jason Lemkin, 2019-06-05 Break your revenue records with Silicon Valley’s “growth bible” “This book makes very clear how to get to hyper-growth and the work needed to actually get there” Why are you struggling to grow your business when everyone else seems to be crushing their goals? If you needed to triple revenue within the next three years, would you know exactly how to do it? Doubling the size of your business, tripling it, even growing ten times larger isn't about magic. It's not about privileges, luck, or working harder. There's a template that the world's fastest growing companies follow to achieve and sustain much, much faster growth. From Impossible to Inevitable details the hypergrowth playbook of companies like Hubspot, Salesforce.com (the fastest growing multibillion dollar software company), and EchoSign—aka Adobe Document Services (which catapulted from $0 to $144 million in seven years). Whether you have a $1 billion or a $100,000 business, you can use the same insights as these notable companies to learn what it really takes to break your own revenue records. Pinpoint why you aren’t growing faster Understand what it takes to get to hypergrowth Nail a niche (the #1 missing growth ingredient) What every revenue leader needs to know about building a scalable sales team There’s no time like the present to surpass plateaus and get off of the up-and-down revenue rollercoaster. Find out how now! |
| business valuation based on revenue: The Little Book of Valuation Aswath Damodaran, 2011-03-29 An accessible, and intuitive, guide to stock valuation Valuation is at the heart of any investment decision, whether that decision is to buy, sell, or hold. In The Little Book of Valuation, expert Aswath Damodaran explains the techniques in language that any investors can understand, so you can make better investment decisions when reviewing stock research reports and engaging in independent efforts to value and pick stocks. Page by page, Damodaran distills the fundamentals of valuation, without glossing over or ignoring key concepts, and develops models that you can easily understand and use. Along the way, he covers various valuation approaches from intrinsic or discounted cash flow valuation and multiples or relative valuation to some elements of real option valuation. Includes case studies and examples that will help build your valuation skills Written by Aswath Damodaran, one of today's most respected valuation experts Includes an accompanying iPhone application (iVal) that makes the lessons of the book immediately useable Written with the individual investor in mind, this reliable guide will not only help you value a company quickly, but will also help you make sense of valuations done by others or found in comprehensive equity research reports. |
| business valuation based on revenue: The Market Approach to Valuing Businesses Shannon P. Pratt, 2006-02-22 Your Best Approach to Determining Value If you're buying, selling, or valuing a business, how can you determine its true value? By basing it on present market conditions and sales of similar businesses. The market approach is the premier way to determine the value of a business or partnership. With convincing evidence of value for both buyers and sellers, it can end stalemates and get deals closed. Acclaimed for its empirical basis and objectivity, this approach is the model most favored by the IRS and the United States Tax Court-as long as it's properly implemented. Shannon Pratt's The Market Approach to Valuing Businesses, Second Edition provides a wealth of proven guidelines and resources for effective market approach implementation. You'll find information on valuing and its applications, case studies on small and midsize businesses, and a detailed analysis of the latest market approach developments, as well as: A critique of US acquisitions over the last twenty-five years An analysis of the effect of size on value Common errors in applying the market approach Court reactions to the market approach and information to help you avoid being blindsided by a litigation opponent Must reading for anyone who owns or holds a partial interest in a small or large business or a professional practice, as well as for CPAs consulting on valuations, appraisers, corporate development officers, intermediaries, and venture capitalists, The Market Approach to Valuing Businesses will show you how to successfully reach a fair agreement-one that will satisfy both buyers and sellers and stand up to scrutiny by courts and the IRS. |
| business valuation based on revenue: Agile M&A Kison Patel, 2019-10-02 With growing market pressures, transaction values, and information density, practitioners need to begin approaching M&A in a more innovative, efficient and collaborative way. This book looks at how Agile, the project management technique, can be scaled and implemented to improve the entire lifecycle of M&A while increasing value and closing deals faster. |
| business valuation based on revenue: Revenue Operations Stephen G. Diorio, Chris K. Hummel, 2022-04-19 Crush siloes by connecting teams, data, and technologies with a new systems-based approach to growth. Growing a business in the 21st Century has become a capital intensive and data-driven team sport. In Revenue Operations: A New Way to Align Sales and Marketing, Monetize Data, and Ignite Growth, an accomplished team of practitioners, academics, and experts provide a proven system for aligning revenue teams and unlocking growth. The book shows everyone how to connect the dots across an increasingly complex technology ecosystem to simplify selling and accelerate revenue expansion. With Revenue Operations, you’ll understand what it takes to successfully transition to the new system of growth without killing your existing business. This practical and executable approach can be used by virtually any business - large or small, regardless of history or industry - that wants to generate more growth and value. By reading this book you will find: Real-world case studies and personal experiences from executives across an array of high technology, commercial, industrial, services, consumer, and cloud-based businesses. The six core elements of a system for managing your commercial operations, digital selling infrastructure, and customer data assets. Nine building-blocks that connect the dots across your sales and marketing technology ecosystem to generate more consistent growth and a better customer experience at lower costs. The skills and tools that next generation growth leaders will need to chart the roadmap for a successful career in any growth discipline for the next 25 years. An indispensable resource for anyone who wants to get more from their business – board members, CEOs, business unit leaders, strategists, thought leaders, analysts, operations professionals, partners, and front-line doers in sales, marketing, and service - Revenue Operations is based on over one thousand surveys of and interviews with business professionals conducted during 2020 and 2021. It also includes a comprehensive analysis of the sales and marketing technology landscape. As a perfectly balanced combination of academic insight and data-driven application, this book belongs on the bookshelves of anyone responsible for driving revenue and growth. |
| business valuation based on revenue: Damodaran on Valuation Aswath Damodaran, 2016-02-08 Aswath Damodaran is simply the best valuation teacher around. If you are interested in the theory or practice of valuation, you should have Damodaran on Valuation on your bookshelf. You can bet that I do. -- Michael J. Mauboussin, Chief Investment Strategist, Legg Mason Capital Management and author of More Than You Know: Finding Financial Wisdom in Unconventional Places In order to be a successful CEO, corporate strategist, or analyst, understanding the valuation process is a necessity. The second edition of Damodaran on Valuation stands out as the most reliable book for answering many of today?s critical valuation questions. Completely revised and updated, this edition is the ideal book on valuation for CEOs and corporate strategists. You'll gain an understanding of the vitality of today?s valuation models and develop the acumen needed for the most complex and subtle valuation scenarios you will face. |
| business valuation based on revenue: Mergers and Acquisitions For Dummies Bill R. Snow, 2011-05-09 The easy way to make smart business transactions Are you a business owner, investor, venture capitalist, or member of a private equity firm looking to grow your business by getting involved in a merger with, or acquisition of, another company? Are you looking for a plain-English guide to how mergers and acquisitions can affect your investments? Look no further. Mergers & Acquisitions For Dummies explains the entire process step by step?from the different types of transactions and structures to raising funds and partnering. Plus, you'll get expert advice on identifying targets, business valuation, doing due diligence, closing the purchase agreement, and integrating new employees and new ways of doing business. Step-by-step techniques and real-world advice for making successful mergers and acquisitions Covers international laws and regulations How to take advantage of high-value deals Going beyond the case studies of other books, Mergers & Acquisitions For Dummies is your one-stop reference for making business growth a success. |
| business valuation based on revenue: Business Valuation For Dummies Lisa Holton, Jim Bates, 2009-04-22 Buying or selling a business? Acquire the tools and learn the methods for accurate business valuation Business valuation is the process of determining the value of a business enterprise or ownership interest. Business Valuation For Dummies covers valuation methods, including advice on analyzing historical performance, evaluating assets and income value, understanding a company's financial statements, forecasting performance; estimating the cost of capital; and cash flow methods of valuation. Written in plain English, this no-nonsense guide is filled with expert guidance that business owners, managers at all levels, investors, and students can use when determining the value of a business. It contains a solid framework for valuation, including advice on analyzing historical performance, evaluating assets and income value, understanding a company's financial statements, estimating the cost of capital, business valuation models, and how to apply those models to different types of businesses. Business Valuation For Dummies takes you step-by-step through the business valuation process, explaining the major methods in an easy-to-understand manner with real-world examples. Inside you'll discover: The value of business valuation, including when it's necessary The fundamental methods and approaches to business valuation How to read a valuation report and financial statements The other players in the valuation process How to decide you're ready to sell -- and the best time to do so The three stages of due diligence: the meet and greet; the hunting and gathering; the once-over How to decide you're ready to buy -- and find the right business for you What due diligence means on the buying side of things When to call in the experts: divorce; estate planning and gifting; attracting investors and lenders This is an essential guide for anyone buying a business, selling a business, participating in a merger or acquisition, or evaluating for tax, loan, or credit purposes. Get your copy of Business Valuation For Dummies to get the information you need to successfully and accurately place a value on any business. |
| business valuation based on revenue: The Art of Company Valuation and Financial Statement Analysis Nicolas Schmidlin, 2014-06-09 The Art of Company Valuation and Financial Statement Analysis: A value investor’s guide with real-life case studies covers all quantitative and qualitative approaches needed to evaluate the past and forecast the future performance of a company in a practical manner. Is a given stock over or undervalued? How can the future prospects of a company be evaluated? How can complex valuation methods be applied in practice? The Art of Company Valuation and Financial Statement Analysis answers each of these questions and conveys the principles of company valuation in an accessible and applicable way. Valuation theory is linked to the practice of investing through financial statement analysis and interpretation, analysis of business models, company valuation, stock analysis, portfolio management and value Investing. The book’s unique approach is to illustrate each valuation method with a case study of actual company performance. More than 100 real case studies are included, supplementing the sound theoretical framework and offering potential investors a methodology that can easily be applied in practice. Written for asset managers, investment professionals and private investors who require a reliable, current and comprehensive guide to company valuation, the book aims to encourage readers to think like an entrepreneur, rather than a speculator, when it comes to investing in the stock markets. It is an approach that has led many to long term success and consistent returns that regularly outperform more opportunistic approaches to investment. |
| business valuation based on revenue: The Predictable Profits Playbook: The Entrepreneur's Guide to Dominating Any Market ? And Staying On Top Charles E. Gaudet II, 2014-04 Why does an entrepreneur struggling through 80 hours a week only make half as much as another working no more than 40? What actions determine whether you end up with a small business pulling in five figures a year or a billion-dollar behemoth blazing a path to market dominance? As an entrepreneur, you're told the secret to success is working hard and fighting your way to the top. But what if this advice came from all the wrong people and places? What if there was more to the success stories you read in magazines, watch on TV or hear on the radio? Uncovering the true secret to success is marketing expert Charles E. Gaudet II's obsession. Gaudet discovered nearly every great organization - whether Apple, Nordstrom, Zappos, FedEx or Disney - follows a stunningly similar formula. And surprisingly, this approach defies the principles followed by most entrepreneurs running businesses today. Gaudet finally reveals why some businesses find growth opportunities in any economic situation and others balance on the edge of failure. His research shows many small business owners seek out success strategies from other small business owners and, for this reason, most remain small. Fortunately, today's advances in technology and media level the playing field, allowing small businesses to compete using a big-business playbook, even when they don't have a big-business marketing budget. Inside The Predictable Profits Playbook, you'll learn time-tested lessons from leading small business owners and discover how to: Succeed in a down economy Become the preferred provider sought by only the best customers Swipe market share from your competitors Increase margins while growing demand Multiply your prospect-to-sales ratio Boost customer loyalty and build a raving fan base Create predictable and rising profits from one month to the next Become known as a business of excellence The Predictable Profits methodology avoids gimmicks, schemes or stunts - and you won't need to outspend your competitors. Instead, you'll focus on optimizing your existing marketing dollars and delivering the greatest advantages to your customers. Some entrepreneurs want to experience growth and others just wish for it. This book is for the motivated entrepreneur committed to making growth happen. |
| business valuation based on revenue: Valuation McKinsey & Company Inc., Tim Koller, Marc Goedhart, David Wessels, 2010-07-16 The number one guide to corporate valuation is back and better than ever Thoroughly revised and expanded to reflect business conditions in today's volatile global economy, Valuation, Fifth Edition continues the tradition of its bestselling predecessors by providing up-to-date insights and practical advice on how to create, manage, and measure the value of an organization. Along with all new case studies that illustrate how valuation techniques and principles are applied in real-world situations, this comprehensive guide has been updated to reflect new developments in corporate finance, changes in accounting rules, and an enhanced global perspective. Valuation, Fifth Edition is filled with expert guidance that managers at all levels, investors, and students can use to enhance their understanding of this important discipline. Contains strategies for multi-business valuation and valuation for corporate restructuring, mergers, and acquisitions Addresses how you can interpret the results of a valuation in light of a company's competitive situation Also available: a book plus CD-ROM package (978-0-470-42469-8) as well as a stand-alone CD-ROM (978-0-470-42457-7) containing an interactive valuation DCF model Valuation, Fifth Edition stands alone in this field with its reputation of quality and consistency. If you want to hone your valuation skills today and improve them for years to come, look no further than this book. |
| business valuation based on revenue: On Startups: Advice and Insights for Entrepreneurs Dharmesh Shah, 2012-12-09 Note from the Author Hi, my name is Dharmesh, and I’m a startup addict. And, chances are, if you’re reading this, you have at least a mild obsession as well. This book is based on content from the OnStartups.com blog. The story behind how the blog got started is sort of interesting—but before I tell you that story, it’ll help to understand my earlier story. As a professional programmer, I used to work in a reasonably fun job doing what I liked to do (write code). Eventually, I got a little frustrated with it all, so at the ripe old age of 24, I started my first software company. It did pretty well. It was on the Inc. 500 list of fastest growing companies three times. It reached millions of dollars of sales and was ultimately acquired. I ran that first company for over 10 years working the typical startup hours. When I sold that company, I went back to school to get a master’s degree at MIT. I’ve always enjoyed academics, and I figured this would be a nice “soft landing” and give me some time to figure out what I wanted to do with my life. As part of my degree requirements, I had to write a graduate thesis. I titled my thesis “On Startups: Patterns and Practices of Contemporary Software Entrepreneurs.” And, as part of that thesis work, I wanted to get some feedback from some entrepreneurs. So, I figured I’d start a blog. I took the first two words of the thesis title, “On Startups,” discovered that the domain name OnStartups.com was available, and was then off to the races. The blog was launched on November 5, 2005. Since then, the blog and associated community have grown quite large. Across Facebook, LinkedIn, and email subscribers, there are over 300,000 people in the OnStartups.com audience. This book is a collection of some of the best articles from over 7 years of OnStartups.com. The articles have been topically organized and edited. I hope you enjoy them. |
| business valuation based on revenue: The Automatic Customer John Warrillow, 2015-02-05 The lifeblood of your business is repeat customers. But customers can be fickle, markets shift, and competitors are ruthless. So how do you ensure a steady flow of repeat business? The secret—no matter what industry you’re in—is finding and keeping automatic customers. These days virtually anything you need can be purchased through a subscription, with more convenience than ever before. Far beyond Spotify, Netflix, and New York Times subscriptions, you can sign up for weekly or monthly supplies of everything from groceries (AmazonFresh) to cosmetics (Birchbox) to razor blades (Dollar Shave Club). According to John Warrillow, this emerging subscription economy offers huge opportunities to companies that know how to turn customers into subscribers. Automatic customers are the key to increasing cash flow, igniting growth, and boosting the value of your company. Consider Whatsapp, the internet-based messaging service that was purchased by Facebook for $19 billion. While other services bombarded users with invasive ads in order to fund a free messaging platform, Whatsapp offered a refreshingly private tool on a subscription platform, charging just $1 per year. Their business model enabled the kind of service that customers wanted and ensured automatic customers for years to come. As Warrillow shows, subscriptions aren’t limited to technology or media businesses. Companies in nearly any industry, from start-ups to the Fortune 500, from home contractors to florists, can build subscriptions into their business. Warrillow provides the essential blueprint for winning automatic customers with one of the nine subscription business models, including: • The Membership Website Model: Companies like The Wood Whisperer Guild, ContractorSelling, and DanceStudioOwner offer access to highly specialized, high quality information, recognizing that people will pay for good content. This model can work for any business with a tightly defined niche market and insider information. • The Simplifier Model: Companies like Mosquito Squad (pest control) and Hassle Free Homes (home maintenance) take a recurring task off your to-do list. Any business serving busy consumers can adopt this model not only to create a recurring revenue stream, but also to take advantage of the opportunity to cross-sell or bundle their services. • The Surprise Box Model: Companies like BarkBox (dog treats) and Standard Cocoa (craft chocolate) send their subscribers curated packages of goodies each month. If you can handle the logistics of shipping, giving customers joy in something new can translate to sales on your larger e-commerce site. This book also shows you how to master the psychology of selling subscriptions and how to reduce churn and provides a road map for the essential statistics you need to measure the health of your subscription business. Whether you want to transform your entire business into a recurring revenue engine or just pick up an extra 5 percent of sales growth, The Automatic Customer will be your secret weapon. |
| business valuation based on revenue: Six Pixels of Separation Mitch Joel, 2009-09-07 Through the use of timely case studies and fascinating stories, Six Pixels of Separation offers a complete set of the latest tactics, insights, and tools that will empower you to reach a global audience and consumer base—which, best yet, you can do pretty much for free. Is it important to be connected? Well, consider this: If Facebook were a country, it would have the sixth largest population in the world. The truth is, we no longer live in a world of six degrees of separation. In fact, we're now down to only six pixels of separation, which changes everything we know about doing business. This is the first book to integrate digital marketing, social media, personal branding, and entrepreneurship in a clear, entertaining, and instructive manner that everyone can understand and apply. Digital marketing expert Mitch Joel unravels this fascinating world of new media-but does so with a brand-new perspective that is driven by compelling results. The smarter entrepreneurs and top executives are leveraging these digital channels to get their voice out there-connecting with others, becoming better community citizens, and, ultimately, making strategic business moves that are increasing revenue, awareness, and overall success in the marketplace—without the support of traditional mass media. Everyone is connected. Isn't it time for you and your company to connect to everyone? |
| business valuation based on revenue: The Lawyer's Business Valuation Handbook Shannon P. Pratt, 2000 This is a practical guide that will help lawyers and judges assess the qualifications of a business appraiser and the reliability of the information presented, and will enable them to work with valuation issues more efficiently and effectively. |
| business valuation based on revenue: The Banking Industry Guide: Key Insights for Investment Professionals Ryan C. Fuhrmann, 2017 |
| business valuation based on revenue: The Art of Startup Fundraising Alejandro Cremades, 2016-04-11 Startup money is moving online, and this guide shows you how it works. The Art of Startup Fundraising takes a fresh look at raising money for startups, with a focus on the changing face of startup finance. New regulations are making the old go-to advice less relevant, as startup money is increasingly moving online. These new waters are all but uncharted—and founders need an accessible guide. This book helps you navigate the online world of startup fundraising with easy-to-follow explanations and expert perspective on the new digital world of finance. You'll find tips and tricks on raising money and investing in startups from early stage to growth stage, and develop a clear strategy based on the new realities surrounding today's startup landscape. The finance world is in a massive state of flux. Changes are occurring at an increasing pace in all sectors, but few more intensely than the startup sphere. When the paradigm changes, your processes must change with it. This book shows you how startup funding works, with expert coaching toward the new rules on the field. Learn how the JOBS Act impacts the fundraising model Gain insight on startups from early stage to growth stage Find the money you need to get your venture going Craft your pitch and optimize the strategy Build momentum Identify the right investors Avoid the common mistakes Don't rely on the how we did it tales from superstar startups, as these stories are unique and applied to exceptional scenarios. The game has changed, and playing by the old rules only gets you left behind. Whether you're founding a startup or looking to invest, The Art of Startup Fundraising provides the up-to-the-minute guidance you need. |
| business valuation based on revenue: Mobilizing Invisible Assets Hiroyuki ITAMI, Thomas W. Roehl, Hiroyuki Itami, 2009-06-30 Successful corporate strategies, says this leading professor of management, depend upon dynamic marshaling of a firm's invisible assets--information-based resources such as technological know-how, the visibility of a brand name, or knowledge of a customer base--as well as tangible assets such as people, goods, and money. Hiroyuki Itami emphasizes the ways strategy must fit the firm's external environment (customers, competitors, and ever-changing technology) and also the importance of internal fit within the organization. He uses invisible assets as a single organizing concept to discuss the appropriateness of strategy in each area.Strategy, Itami insists, must be adapted to rapidly changing conditions and must sometimes be prepared in advance of expected change. The most powerful strategy may often intentionally create imbalance in the short run in order to accumulate invisible assets and energize the organization. Itami examines successful strategies of Japanese firms, which have always operated in an environment of uncertainty and all-pervasive change. Sony and Honda are not the only examples, however--Itami also discusses IBM, Volkswagen, and the Swiss watch industry. The range of examples gives the book wide applicability and appeal to American business executives, who are now facing a similar situation of rapid change.The clarity and sound construction of Itami's argument will make it useful not only to MBAs and theorists of international business and comparative management, but also to real world planners and managers who are currently coping with just the sort of situations Itami describes. |
| business valuation based on revenue: The Dark Side of Valuation Aswath Damodaran, 2009-06-19 Renowned valuation expert Aswath Damodaran reviews the core tools of valuation, examines today’s most difficult estimation questions and issues, and then systematically addresses the valuation challenges that arise throughout a firm’s lifecycle in The Dark Side of Valuation: Valuing Young, Distressed and Complex Businesses. In this thoroughly revised edition, he broadens his perspective to consider all companies that resist easy valuation, highlighting specific types of hard-to-value firms, including commodity firms, cyclical companies, financial services firms, organizations dependent on intangible assets, and global firms operating diverse businesses. He covers the entire corporate lifecycle, from “idea” and “nascent growth” companies to those in decline and distress, and offers specific guidance for valuing technology, human capital, commodity, and cyclical firms. · |
| business valuation based on revenue: Valuing Early Stage and Venture-Backed Companies Neil J. Beaton, 2010-03-29 Valuing Early Stage and Venture-Backed Companies Unique in the overall sphere of business valuation, the valuing of early stage and venture-backed companies lacks the traditional metrics of cash flow, earnings, or even revenue at times. But without these metrics, traditional discounted cash flow models and comparison to public markets or private transactions take on less relevance, calling for a more experiential valuation approach. In a straightforward, no-nonsense manner, the mystique surrounding the valuation of early stage and venture-backed companies is now unveiled. With an emphasis on applications and models, Valuing Early Stage and Venture-Backed Companies shows the most effective way for your company to prepare and present its valuations. Featuring contributed chapters by a panel of top valuation experts, this book dispels improper valuation techniques promulgated by unknowing business appraisers and answers your key questions about valuation theory and which tools you need to successfully apply in your specific situation. Here, you'll find out more about various valuation techniques, including: Back solving valuation Modified cost approach Option pricing model Probability-weighted expected returns model Asian puts New data on discounts for lack of marketability Detailed and hands-on, Valuing Early Stage and Venture-Backed Companies equips you with broad foundational data on the venture capital industry, as well as in-depth analyses of distinct early stage company valuation approaches. Performing valuations for your early stage company requires an understanding of the special circumstances faced by your organization. With ample examples of generally accepted allocation models with complex capital structures common to early stage companies, Valuing Early Stage and Venture-Backed Companies mixes real-life experience with deep technical expertise to equip you with the complete, user-friendly resource you'll turn to often in valuing your early stage or venture-backed company. |
| business valuation based on revenue: Handbook of Business Valuation Thomas L. West, Jeffrey D. Jones, 1999-08-16 The most complete guide to business valuation written by industry-leading valuation specialists! Handbook of Business Valuation Second Edition In this thoroughly revised and updated edition of the number-one guide to business valuation, nearly 50 experts provide expert advice and guidance on all facets of the subject. This is a single-source guide to valuation approaches and methods, in addition to all of the procedures necessary to accurately value a business. The Second Edition of the Handbook of Business Valuation enables you to find precisely the information you need; just go directly to the chapter concerning the topic you are interested in. There is no need to read the entire volume-it's quick and easy. This is the only valuation book you need. It provides chapters on valuing specific businesses, such as: software companies, radio and cable stations, medical practices, home-based businesses, and many more, plus a special chapter on researching business valuation information on the Internet. * An entire chapter on commonly used rules of thumb * Business valuation from the perspective of the buyer, seller, lawyer, lender, and others * All updated information, plus much that's new * Important sections on family limited partnerships, intellectual property issues, minority interests, and much more |
| business valuation based on revenue: The Customer Centricity Playbook Peter Fader, Sarah E. Toms, 2018-10-30 A 2019 Axiom Business Award winner. In The Customer Centricity Playbook , Wharton School professor Peter Fader and Wharton Interactive's executive director Sarah Toms help you see your customers as individuals rather than a monolith, so you can stop wasting resources by chasing down product sales to each and every consumer. |
| business valuation based on revenue: Raising Entrepreneurial Capital John B. Vinturella, Suzanne M. Erickson, 2003-12-02 Approx.393 pagesApprox.393 pages |
| business valuation based on revenue: Business Valuation Z. Christopher Mercer, Travis W. Harms, 2007-09-24 Praise for Business Valuation: An Integrated Theory, 2nd Edition The Second Edition of Business Valuation: An Integrated Theory manages to present the theoretical analysis of valuation from the first edition and expand on that discussion by providing additional guidance on implementing the relevant valuation theories, notably in its expanded discussion of the Quantitative Marketability Discount Model. —Dr. David Tabak, NERA Economic Consulting Your Essential Valuations Reference Whether you are an accountant, auditor, financial planner, or attorney, Business Valuation: An Integrated Theory, 2nd Edition enables you to understand and correctly apply fundamental valuation concepts. Thoroughly revised and expanded, the Second Edition demystifies modern valuation theory, bringing together various valuation concepts to reveal a comprehensive picture of business valuation. With the implementation of new accounting pronouncements mandating the recognition of numerous assets and liabilities at fair value, it has become critical for CPAs charged with auditing financial statements to understand valuation concepts. With thoughtful and balanced treatment of both theory and application, this essential guide reveals: The GRAPES of Value-Growth, Risk and Reward, Alternative Investments, Present Value, Expectations, and Sanity The relationship between the Gordon Model and the discounted cash flow model of valuation The basis for commonly applied, but commonly misunderstood valuation premiums and discounts A practical perspective on the analysis of potential business acquisitions Grounded in the real world of market participants, Business Valuation, 2nd Edition addresses your need to understand business valuation, providing a means of articulating valuation concepts to help you negotiate value-enhancing transactions. If you want to get back to valuation basics, this useful reference will become your guide to defining the various levels of value and developing a better understanding of business appraisal reports. |
| business valuation based on revenue: Understanding Business Valuation Gary R. Trugman, 2018-01-12 This fifth edition simplifies a technical and complex area of practice with real-world experience and examples. Expert author Gary Trugman's informal, easy-to-read style, covers all the bases in the various valuation approaches, methods, and techniques. Author note boxes throughout the publication draw on Trugman's veteran, practical experience to identify critical points in the content. Suitable for all experience levels, you will find valuable information that will improve and fine-tune your everyday activities. |
| business valuation based on revenue: Buying, Selling, and Valuing Financial Practices, + Website David Grau, Sr., 2016-08-22 The Authoritative M&A Guide for Financial Advisors Buying, Selling, & Valuing Financial Practices shows you how to complete a sale or acquisition of a financial advisory practice and have both the buyer and seller walk away with the best possible terms. From the first pages of this unique book, buyers and sellers and merger partners will find detailed information that separately addresses each of their needs, issues and concerns. From bestselling author and industry influencer David Grau Sr. JD, this masterful guide takes you from the important basics of valuation to the finer points of deal structuring, due diligence, and legal matters, with a depth of coverage and strategic guidance that puts you in another league when you enter the M&A space. Complete with valuable tools, worksheets, and checklists on a companion website, no other resource enables you to: Master the concepts of value and valuation and take this issue “off the table” early in the negotiation process Utilize advanced deal structuring techniques including seller and bank financing strategies Understand how to acquire a book, practice or business based on how it was built, and what it is capable of delivering in the years to come Navigate the complexities of this highly-regulated profession to achieve consistently great results whether buying, selling, or merging Buying, Selling, & Valuing Financial Practices will ensure that you manage your M&A transaction properly and professionally, aided with the most powerful set of tools available anywhere in the industry, all designed to create a transaction where everyone wins—buyer, seller, and clients. |
| business valuation based on revenue: Accounting for Value Stephen Penman, 2010-12-30 Accounting for Value teaches investors and analysts how to handle accounting in evaluating equity investments. The book's novel approach shows that valuation and accounting are much the same: valuation is actually a matter of accounting for value. Laying aside many of the tools of modern finance the cost-of-capital, the CAPM, and discounted cash flow analysis Stephen Penman returns to the common-sense principles that have long guided fundamental investing: price is what you pay but value is what you get; the risk in investing is the risk of paying too much; anchor on what you know rather than speculation; and beware of paying too much for speculative growth. Penman puts these ideas in touch with the quantification supplied by accounting, producing practical tools for the intelligent investor. Accounting for value provides protection from paying too much for a stock and clues the investor in to the likely return from buying growth. Strikingly, the analysis finesses the need to calculate a cost-of-capital, which often frustrates the application of modern valuation techniques. Accounting for value recasts value versus growth investing and explains such curiosities as why earnings-to-price and book-to-price ratios predict stock returns. By the end of the book, Penman has the intelligent investor thinking like an intelligent accountant, better equipped to handle the bubbles and crashes of our time. For accounting regulators, Penman also prescribes a formula for intelligent accounting reform, engaging with such controversial issues as fair value accounting. |
| business valuation based on revenue: Built to Sell John Warrillow, 2012-12-24 Run your company. Don’t let it run you. Most business owners started their company because they wanted more freedom—to work on their own schedules, make the kind of money they deserve, and eventually retire on the fruits of their labor. Unfortunately, according to John Warrillow, most owners find that stepping out of the picture is extremely difficult because their business relies too heavily on their personal involvement. Without them, their company—no matter how big or profitable—is essentially worthless. But the good news is that entrepreneurs can take specific steps—no matter what stage a business is in—to create a valuable, sellable company. Warrillow shows exactly what it takes to create a solid business that can thrive long into the future. |
| business valuation based on revenue: Quotations from Chairman Mao Tse-Tung Mao Tse-Tung, Mao Zedong, 2013-04-16 Quotations from Chairman Mao Tse-Tung' is a volume of selected statements taken from the speeches and writings by Mao Mao Tse-Tung, published from 1964 to 1976. It was often printed in small editions that could be easily carried and that were bound in bright red covers, which led to its western moniker of the 'Little Red Book'. It is one of the most printed books in history, and will be of considerable value to those with an interest in Mao Tse-Tung and in the history of the Communist Party of China. The chapters of this book include: 'The Communist Party', 'Classes and Class Struggle', 'Socialism and Communism', 'The Correct Handling of Contradictions Among The People', 'War and Peace', 'Imperialism and All Reactionaries ad Paper Tigers', 'Dare to Struggle and Dare to Win', et cetera. We are republishing this antiquarian volume now complete with a new prefatory biography of Mao Tse-Tung. |
| business valuation based on revenue: The Complete Guide to Selling a Business Fred S. Steingold, 2017-08-30 Out there somewhere is a buyer looking to buy a business like yours. So if you're ready to sell, make sure you protect your interests and maximize your profit with this all-in-one guide. |
| business valuation based on revenue: Valuation in Life Sciences Boris Bogdan, Ralph Villiger, 2010-04-19 Valuation is a hot topic among life sciences professionals. There is no clear understanding on how to use the different valuation approaches and how to determine input parameters. Some do not value at all, arguing that it is not possible to get realistic and objective numbers out of it. Some claim it to be an art. In the following chapters we will provide the user with a concise val- tion manual, providing transparency and practical insight for all dealing with valuation in life sciences: project and portfolio managers, licensing executives, business developers, technology transfer managers, entrep- neurs, investors, and analysts. The purpose of the book is to explain how to apply discounted cash flow and real options valuation to life sciences p- jects, i.e. to license contracts, patents, and firms. We explain the fun- mentals and the pitfalls with case studies so that the reader is capable of performing the valuations on his own and repeat the theory in the exercises and case studies. The book is structured in five parts: In the first part, the introduction, we discuss the role of the players in the life sciences industry and their p- ticular interests. We describe why valuation is important to them, where they need it, and the current problems to it. The second part deals with the input parameters required for valuation in life sciences, i.e. success rates, costs, peak sales, and timelines. |
| business valuation based on revenue: The Art of Selling Your Business John Warrillow, 2021-01-12 Freedom. It's the ability to do whatever you want, whenever you want. It's the ultimate reward of selling your business. But selling a company can be confusing, and one wrong step can easily cost you dearly. The Art of Selling Your Business: Winning Strategies & Secret Hacks for Exiting on Top is the last in a trilogy of books by author John Warrillow on building value. The first, Built to Sell, encouraged small business owners to begin thinking about their business as more than just a job. The Automatic Customer tagged recurring revenue as the core element in a valuable company and provided a blueprint for transforming almost any business into one with an ongoing annuity stream. Warrillow completes the set with The Art of Selling Your Business. This essential guide to monetizing a business is based on interviews the author conducted on his podcast, Built to Sell Radio, with hundreds of successfully cashed-out founders. What's the secret for harvesting the value you've created when it's time to sell? The Art of Selling Your Business answers important questions facing any founder, including— • What's your business worth? • When's the best time to sell? • How do you create a bidding war? • How can you position your company to maximize its attractiveness? • Who will pay the most for your business? • What’s the secret for punching above your weight in a negotiation to sell your company? The Art of Selling Your Business provides a sleeves-rolled-up action plan for selling your business at a premium by an author with consummate credibility. |
| business valuation based on revenue: Language of Real Estate John Reilly, 2006-06-01 From abandonment to zoning and over 2,800 terms in between, The Language of Real Estate has every term that real estate professionals need to know. This industry bestseller is a must-have for all students, practitioners, and educators, and is also available in both an English and Spanish abridged pocket guide format for those real estate students on the go. |
| business valuation based on revenue: Business Valuation For Dummies Lisa Holton, Jim Bates, 2015-09-15 Buying or selling a business? Acquire the tools and learn the methods for accurate business valuation Business valuation is the process of determining the value of a business enterprise or ownership interest. Business Valuation For Dummies covers valuation methods, including advice on analyzing historical performance, evaluating assets and income value, understanding a company's financial statements, forecasting performance; estimating the cost of capital; and cash flow methods of valuation. Written in plain English, this no-nonsense guide is filled with expert guidance that business owners, managers at all levels, investors, and students can use when determining the value of a business. It contains a solid framework for valuation, including advice on analyzing historical performance, evaluating assets and income value, understanding a company's financial statements, estimating the cost of capital, business valuation models, and how to apply those models to different types of businesses. Business Valuation For Dummies takes you step-by-step through the business valuation process, explaining the major methods in an easy-to-understand manner with real-world examples. Inside you’ll discover: The value of business valuation, including when it’s necessary The fundamental methods and approaches to business valuation How to read a valuation report and financial statements The other players in the valuation process How to decide you’re ready to sell — and the best time to do so The three stages of due diligence: the meet and greet; the hunting and gathering; the once-over How to decide you’re ready to buy — and find the right business for you What due diligence means on the buying side of things When to call in the experts: divorce; estate planning and gifting; attracting investors and lenders This is an essential guide for anyone buying a business, selling a business, participating in a merger or acquisition, or evaluating for tax, loan, or credit purposes. Get your copy of Business Valuation For Dummies to get the information you need to successfully and accurately place a value on any business. |
| business valuation based on revenue: The Valuation of Intangible Assets Arthur Andersen & Co, 1992 |
| business valuation based on revenue: Small Business Hacks Barry Moltz, Rieva Lesonsky, 2017-10-21 Running a small business is hard and confusing. Most entrepreneurs start a company to solve a problem and just want to focus on doing only that. Unfortunately, starting a business gets in the way and everything that comes along with it. Like: �Marketing �Sales �Customer Service �Employees, Freelancers and Vendors �Money and Finance This book solves that problem. It is a simple guide for anyone in a small business to be able to accomplish one of these tasks in five steps or less. No more angst over the issue or searching for the solution on the web. These 100 small business hacks are your shortcut to success. We assemble these after our combine 50 years in business both as small business owners ourselves and as journalists interviewing thought leaders about their path to prosperity. It has never been easier to start a business, but with so much competition moving at the speed of the internet, it has also never been so easy to fail. This does not have to be you. This book is not meant to be read from beginning to end. Jump to the problem that you need to solve and get started. Keep this guide nearby on your desk, your tablet, smart phone or under your pillow. It will allow you to quickly bust through most problems you will encounter and leave more time to do what you love at your company. |
| business valuation based on revenue: The New Roi Dave Bookbinder, 2017-09-20 Ask anyone from the CEO to the shipping clerk about the organization¿s most valuable asset, and you¿ll get the same answer: ¿The people!¿ However, when it comes to the valuation of that organization, especially in terms of intangible assets, like patents and trademarks wind up seeming to be more valuable. How? Simple: They¿re more quantifiable.In The NEW ROI: Return on Individuals, we delve into placing a more quantifiable value on the human capital asset ¿ the most valuable asset in every organization. Additionally, we explore universal ways to promote even greater workforce value including creating difference makers, increasing employee success, improving happiness, reducing toxic employees, generating innovation by building trust, embracing and improving corporate culture, and much more.Do you know who your rock star employees are and how to improve employee engagement and employee morale? Want to keep your top performers happy and productive? Do you actually know the real cost of toxic employees to your bottom line and profitability? Why do some teams succeed while others fail¿ even within the same organization? What is the impact of and on human capital during mergers and acquisitions? How do trust and happiness impact your employees and their ability to be more innovative? What is resiliency in business and why is it important? How high is your cost of turnover and what can you do to reduce it?Whether you are a CEO, on a leadership team, in middle management, or are an employee who wants to see their company not just succeed but thrive, you will gain incredible insight into how the lifeblood of every organization ¿ the human capital asset ¿ operates and what you can do to improve and enhance the success of your employees and ultimately your organization and its bottom line.Nothing gets done in any organization without people and improving the productivity of every employee is the key to boosting profitability and at the same time boosting employee morale. Higher morale generates even greater productivity which, in turn, improves your bottom line. It¿s an upward spiral that you¿ll want to harness. |
Sample Pro Valuation Report 5-6-24 - exitwise.com
Explore opportunities to increase revenue through strategic pricing strategies, upselling or cross-selling complementary products or services, and targeting high-value customer segments.
Sample Business Valuation Report - ValuAdder
This is a sample business valuation report created by ValuAdder® Business Valuation Report Builder. Click here or visit valuadder.com for more information.
Valuing RIAs - Mercer Capital
Understanding the value of an investment management business requires some appreciation for what is simple and what is complex. On one level, a business with almost no balance sheet, a …
Different Approaches to Business Valuations - Selden Fox
There are two main ways for valuation professionals to utilize the market-based approach to value a business. They can use the Comparative Transaction Method which requires the business …
Estimating Value Based on Recurring Revenue - FP Transitions
Recurring revenue is one of the most important single determinants of value. Revenue produced through management fees, trails, or renewals is ongoing and reasonably predictable. …
The BizEquity Business Valuation Process and Algorithm
Based on an investment of more than $8 million and over 400,000 man hours of development effort during a seven year period, BizEquity has created an operating system and cloud-based …
A UNIVERSAL VALUATION MODEL - Business Valuation, Inc
Revenue Ruling 59-60 explicitly states in Sec. 3.03 that “Valuation of securities is, in essence, a prophesy as to the future and must be based on facts available at the required date of …
Overview of Financial Valuation Models - CFA Society Chicago
Understanding the business – industry and competitive analysis, financial statement analysis. Forecasting company performance – forecasts of sales, earnings, dividends, and financial …
Business Valuation Report Writer - ValuSource
This template provides a thorough starting point for an excellent business valuation report based on IRS Revenue Ruling 59-60. The finished report must explain how the author arrived at the …
COMMONLY USED METHODS OF VALUATION - NACVA
Any asset-based approach involves an analysis of the economic worth of a company’s tangible and intangible, recorded and unrecorded assets in excess of its outstanding liabilities. Thus, …
Valuing Pre-revenue Companies - Angel Capital Association
Entrepreneurs and investors must both understand the critical aspects of valuation for pre-revenue and startup entrepreneurial ventures. By aligning expectations, such understanding …
BUSINESS VALUATION - DiSanto, Priest & Co.
A business valuation helps the owner gain an understanding of the business’s worth, and can be used for business succession planning, grooming the business for sale, and even for …
FINANCIAL PLANNING PRACTICE VALUATION GUIDE - riskinfo
Centurion has put together this guide on business valuations to help business owners maximise sale value and minimise transaction risk at the time of sale.
The Art and Science of Business Valuations - Mercer Capital
Business valuation is the process of determining the value indication of a business, business ownership interest, security, or intangible asset. The process is similar to the valuation of public
Dispelling the valuation myths - Beaufort Group
Valuing a business in this sector is complex and company-specific and the expectations of both vendor and acquirer vary considerably. The report examines the reasons behind these …
BUSINESS VALUATION UPDATE - Valuation Research Corp.
GRP contributes to the story from a qualitative and quantitative perspective in terms of why an EBITDA or price-to-revenue multiple is selected for the subject entity being valued. Ultimately, …
Chapter 3: Summary of Business Valuation Approaches
There are three basic approaches to valuing a business. These approaches are the: (1) cost (asset based), (2) market, and (3) income approach.
Business Valuation Approaches: Income, Market and Asset …
Business valuation methods help you arrive at your company's value. These methods include various ways of calculating a business's worth by its income, its market value or its net asset …
An Entrepreneur’s Guide to Understanding Business Valuation
My goal is to help entrepreneurs understand the importance of business valuation and teach both the underlying fundamentals and practical steps it takes to maximize the value of a business. …
5 Methods to Value Your Early Stage Company - Quist Valuation
Included are examples of how to calculate the value based on standard assumptions. Each company has its unique assumptions that should be carefully applied for actual valuations. …
Sample Pro Valuation Report 5-6-24 - exitwise.com
Explore opportunities to increase revenue through strategic pricing strategies, upselling or cross-selling complementary products or services, and targeting high-value customer segments.
Sample Business Valuation Report - ValuAdder
This is a sample business valuation report created by ValuAdder® Business Valuation Report Builder. Click here or visit valuadder.com for more information.
Valuing RIAs - Mercer Capital
Understanding the value of an investment management business requires some appreciation for what is simple and what is complex. On one level, a business with almost no balance sheet, a …
Different Approaches to Business Valuations - Selden Fox
There are two main ways for valuation professionals to utilize the market-based approach to value a business. They can use the Comparative Transaction Method which requires the business …
Estimating Value Based on Recurring Revenue - FP Transitions
Recurring revenue is one of the most important single determinants of value. Revenue produced through management fees, trails, or renewals is ongoing and reasonably predictable. …
The BizEquity Business Valuation Process and Algorithm
Based on an investment of more than $8 million and over 400,000 man hours of development effort during a seven year period, BizEquity has created an operating system and cloud-based …
A UNIVERSAL VALUATION MODEL - Business Valuation, Inc
Revenue Ruling 59-60 explicitly states in Sec. 3.03 that “Valuation of securities is, in essence, a prophesy as to the future and must be based on facts available at the required date of …
Overview of Financial Valuation Models - CFA Society …
Understanding the business – industry and competitive analysis, financial statement analysis. Forecasting company performance – forecasts of sales, earnings, dividends, and financial …
Business Valuation Report Writer - ValuSource
This template provides a thorough starting point for an excellent business valuation report based on IRS Revenue Ruling 59-60. The finished report must explain how the author arrived at the …
COMMONLY USED METHODS OF VALUATION - NACVA
Any asset-based approach involves an analysis of the economic worth of a company’s tangible and intangible, recorded and unrecorded assets in excess of its outstanding liabilities. Thus, …
Valuing Pre-revenue Companies - Angel Capital Association
Entrepreneurs and investors must both understand the critical aspects of valuation for pre-revenue and startup entrepreneurial ventures. By aligning expectations, such understanding …
BUSINESS VALUATION - DiSanto, Priest & Co.
A business valuation helps the owner gain an understanding of the business’s worth, and can be used for business succession planning, grooming the business for sale, and even for …
FINANCIAL PLANNING PRACTICE VALUATION GUIDE - riskinfo
Centurion has put together this guide on business valuations to help business owners maximise sale value and minimise transaction risk at the time of sale.
The Art and Science of Business Valuations - Mercer Capital
Business valuation is the process of determining the value indication of a business, business ownership interest, security, or intangible asset. The process is similar to the valuation of public
Dispelling the valuation myths - Beaufort Group
Valuing a business in this sector is complex and company-specific and the expectations of both vendor and acquirer vary considerably. The report examines the reasons behind these …
BUSINESS VALUATION UPDATE - Valuation Research Corp.
GRP contributes to the story from a qualitative and quantitative perspective in terms of why an EBITDA or price-to-revenue multiple is selected for the subject entity being valued. Ultimately, …
Chapter 3: Summary of Business Valuation Approaches
There are three basic approaches to valuing a business. These approaches are the: (1) cost (asset based), (2) market, and (3) income approach.
Business Valuation Approaches: Income, Market and Asset …
Business valuation methods help you arrive at your company's value. These methods include various ways of calculating a business's worth by its income, its market value or its net asset …
An Entrepreneur’s Guide to Understanding Business …
My goal is to help entrepreneurs understand the importance of business valuation and teach both the underlying fundamentals and practical steps it takes to maximize the value of a business. …
5 Methods to Value Your Early Stage Company - Quist …
Included are examples of how to calculate the value based on standard assumptions. Each company has its unique assumptions that should be carefully applied for actual valuations. …
