Valuing and Selling Your Business: A Quick Guide to Cashing In (2014)

Foreword

“What is my business worth?” “How do I know I am getting the right price?” “Isn’t my company worth more?” “Why can’t I get money for all those years I worked so hard?” “Isn’t my sweat and blood worth more?”

These are only a few of the many difficult questions business owners ask when thinking about selling their “baby”—the company. Unfortunately, owners often believe the company is worth far more than the actual or true value of the company. Owners are obviously emotional when it comes to thinking about selling. It is only natural. Based on over 35 years of assisting business owners sell and buy companies, I have experienced how stressful a sale can be on the owner, and how ill-prepared many owners are as they prepare for the big event. Knowing what the buyer wants, completing a detailed exercise in due diligence, doing the groundwork . . . are all stressful. Experienced attorneys and accountants can help manage these tasks and reduce the stress. However, recognizing and accepting the actual value of the company may be the greatest stress of all—because owners believe their baby is the most attractive of all!

Luckily, Tim McDaniel, an experienced business valuator, has presented help for owners contemplating a sale. He can assist owners understand the “actual value” of the company, and provide suggestions on how to grow its value.

Whenever Tim is involved with my clients, I know they will understand the process and the valuation conclusion. I am always pleased to introduce Tim to clients because he does a great job explaining issues in plain English without complicated statistics or formulas. His perspective on valuations is much wider than mathematical formulas, high finance, or theories.

Tim’s experience in the M&A transaction world is the basis of his sophisticated view. Best of all, he brings a human touch. Tim is diligent in truly understanding what clients want, and he takes a holistic approach when discussing client exit strategies.

In short, Tim has the ability to incorporate a client’s personal desires with the realities of the current situation.

So often, valuations are totally incomprehensible to owners. But owners of businesses who read this book will understand fully the importance of looking at their business like an investment. They will be grateful for Tim’s insight.

—Beatrice E. Wolper, President
Emens & Wolper Law Firm