The current fast pace of business acquisitions is driven by buyers who are able to see more value within a business than conventional analysts and professional valuation experts can see using old fashioned rules and standard calculations. There is usually More Value to be obtained from a business than can be determines from using conventional rules. QuickValue shows you how to prepare a conventional valuation using ready made templates and then incorporate Terminal Values.
To create a quick value in QuickValue 5.0, start by preparing a conventional twelve month profit and loss forecast using the P-L Template. QuickValue 5.0 automatically generates a 10 year forecast from this current year scenario applying growth rate extrapolation percentages you supply.
Use the extrapolation spreadsheet to prepare the base earnings scenario for a 10 year business plan valuation. Hide unwanted rows.
Valuation calculations use a selected choice of multiples.
In the second “Company Valuation” workbook you can prepare a quick value of your company based on five year results or forecasts and apply sales multiples, EBIT or Price Earnings values. You can then incorporate the Terminal Value beyond the forecast horizon period to create the additional net worth.
In addition to P/L valuation basis, you can adjust a business valuation using balance sheet figures. You can select which basis of valuation you want to apply and the table automatically adjusts the Total Value. |
