What factors determine a company's value? All businesses have valuations that are as unique as the company itself.
If you are contemplating the best next steps to grow your company or are preparing someday to exit from it, you need to interview an investment bank that is a qualified FINRA registered broker dealer rather than take the advice of an accountant, lawyer or business broker, all of whom are ill equipped to advise you through what is likely the most important transaction in your lifetime.
- Andrew Winick, Managing Director, Artemis Transaction Advisors
You have your “number”. You heard a friend’s friend sold their business for millions of dollars. You read that a “similar” company to yours got acquired at a huge multiple.
But, in truth, you understand that all businesses have valuations that are as unique as the company itself. Whether it’s a corporate development director in charge of acquiring companies that fit strategically with their company, or a managing partner at a private equity group whose directive is to build out their firm’s food and beverage holdings, there are some generally accepted criteria and standards that determine the value of any company.