What is a business valuation, and why is it important for small businesses?
A business valuation is an assessment of a company’s financial worth. Many small to mid-sized business (SMB) owners may think they are too small to need or afford valuation services, but valuation specialists provide valuable services to help SMBs plan long-term strategies, secure finances, handle mergers and acquisitions, and maintain legal compliance.
What is the difference between an “Opinion of Value” and a “Calculation of Value?”
There are two main categories of company valuation—an Opinion of Value and a Calculation of Value.
An Opinion of Value provides a comprehensive and detailed valuation, often for legal or compliance purposes. A Calculation of Value is less in-depth, quicker, and less expensive, making it more useful for strategic planning and amicable transactions.
How will a professional valuation benefit my small business?
A professional valuation by Sofer Advisors will provide tailored insights into your business’s worth and educate you on how best to use your newfound insights to make informed decisions, attract investors, secure financing, and plan for the future.
How long does a valuation take for a business?
At Sofer® Advisors, your deadline is our commitment. Regardless of the challenge you face, we tailor our process to meet the timeframe you set. While we typically allocate four to eight weeks for valuations of small to mid-sized businesses, we understand the need for flexibility. We can adjust accordingly if you require an expedited valuation, though this may impact the fee structure.
Will the valuation results be accepted by lenders or potential buyers?
Sofer Advisors focuses on thorough, transparent valuations with clear and acceptable results. Professionally conducted company valuations provide credibility and transparency to lenders, investors, and potential buyers alike, enhancing trust and confidence in their transactions with your business.
How often should we consider getting a valuation for our business?
The best way to conduct valuations is annually so you can accurately chart the changing financial circumstances of your business. In particular, you should make sure to conduct a business valuation ahead of sales, mergers, acquisitions, or strategic planning.
What are some common scenarios in which businesses require valuation services?
SMBs need valuation services to provide an accurate financial view of their company’s worth ahead of a wide range of events and processes, such as seeking financing, estate and business succession planning, partnership buyouts, divorce settlements, and exit planning.
What geographic areas do you serve, and can you conduct remote valuations?
While Sofer® Advisors is based in the Atlanta area, we serve businesses of all sizes throughout the United States with a team of remote valuation professionals.
What sets your business valuation services for SMBs apart from competitors?
Sofer Advisors brings a neutral perspective and comprehensive valuation services tailor-made to address SMBs, who have unique needs compared to the large businesses and enterprise-level organizations many valuation experts cater to.
Our goal is not only to provide valuation to small business owners but to educate and empower small businesses to use our clear and unbiased insights for better strategic planning. To that end, we provide comprehensive consulting and guidance to ensure that you understand in plain English what your valuation means for your business’s future.