Business valuation is a vital component of an effective pre-sale planning strategy. It allows entrepreneurs to understand what drives the value of their company and implement key changes in their business model to increase value in the future. At VSP, we prepare professional that offer insights on how to strategically increase your business’s value over time prior to a sale. This r...
If you are looking into selling a company in your portfolio, a division or even your entire business it might be time to look into getting an independent valuation report. A valuation report does what the name suggests and can inform various financial aspects of business, litigation and personal matters. A valuation focuses on the details making sure nothing goes unmissed and that’s why it’s important to work with a ...
Many business owners have more than 85% of their net worth tied to their business, the one significantly non-liquid asset. As a result, getting an independent business valuation is incredibly important. The valuation report provides the economic worth of the owner’s interest in the business. If the business is part of the estate, a valuation can help you take strategic measures to enhance your company’s value over ...
Business ownership is complicated, particularly when there are a number of shareholders. The odds of disagreement and conflict can be very high. When shareholder relationships break down there should be a mechanism in place for dealing with the dispute and for enabling one or more of the shareholders to exit the business in a pre-determined manner. This mechanism should include agreement among the shareholders to obtain and review, on an annual basis, an independe...
Exit planning is essential if you want to maximize the value of your company prior to an actual sale or transition. Business owners should also have a formal exit plan in place to ensure there is a contingency plan in place in the event of death, divorce, disability, dispute, departure or natural disaster. Look no further than the current COVID-19 pandemic and its impact on so many businesses around the world. Having a formal exit plan in place provides you with the control to determine how a...
March 31, 2020 As a firm of professionally trained accountants and a legal and justice system professional service provider, Valuation Support Partners Ltd. (“VSP”) is considered an essential business and remains committed to providing you with continuous service during this unprecedented time. We do believe, however, that it is our firm's social responsibility to limit the spread of COVID-19 and ensure the safety of our team members, clients, family and friends. As such, ...
Commercial disputes are very common and they will likely become much more prevalent in 2020 as the impact of COVID-19 on various businesses and business arrangements/agreements continues to unfold. Disputes can arise due to a breach of contract, breach of tender, breach of fiduciary duty, patent infringement, estate dispute, business interruption, product liability, shareholder dispute or any other form of dispute between businesses or shareholders. Chartered Business Valuators (CBVs) are ...
Divorce is not inevitable but it is also not improbable. According to Statistics Canada, approximately 38% of all marriages end in divorce. Many matrimonial divorces involve a family business that is the major source of funds/lifestyle for the family. The business can be put at risk if the divorce becomes highly contested and contentious. Depletion of financial resources combined with distractions and lack of focus/effort on the owner’s part can result in a forc...
“By failing to prepare, you are preparing to fail”- Benjamin Franklin
A good plan today can save you from a failed exit tomorrow. Even if you are just starting a business, you should plan your exit before actually beginning the business venture. If you do you will be ahead of the other half of all business owners who do not. To h...
Business valuation is a vital component to an effective planning strategy. It allows entrepreneurs to understand what drives the value of their company and implement key changes in their business model to prepare for the future. Without a reliable third party valuation, the business owner may arrive at an unrealistic sense of how much the company is worth which will likely be at odds with what potential inves...