The biggest asset for many small business owners is the value of their business and they count on it for retirement funds. However, most of those owners do not actually know the value of the business. How will they know when they can stop working or what to expect in retirement?
Having the information needed to prepare adequately for retirement is just one of the many benefits to a business valuation. Here are several others:
- Increase value. In life, what is measured improves – this applies equally to business valuation.
- Capital infusion. To raise money on the right terms you need to know your value.
- Mergers & Acquisitions. You need certainty on your value to properly negotiate a deal.
- Exit of an Owner. The more you understand the value, the more likely you will be to reach an amicable split.
- Too often people guess or estimate and one side or the other losses.
- Tax strategies. Good tax and financial planning requires beginning with good data. The best plan in the world won’t do you much good if the initial assumptions about value of your assets was wrong.
- Employee incentive programs. Companies with employee incentive plans may want or need to share value information each year with employees.
- Insurance planning. Many small businesses do not have adequate insurance coverage. In order to get adequate coverage, you need to know how much value you are covering.
Many business owners avoid valuation because traditionally it has involved an extensive, expensive, and invasive process. Epiphany Law is different and our technology has changed the process. Now we can provide a valuation report that costs a fraction of the traditional model and takes a fraction of the time.
To get started on your business valuation, simply go to https://epiphanylaw.bizequity.com/.