Oct 23, 2019 | Business, Business Valuation
The transition of a business is potentially the most significant financial event for an owner. As such, knowing the value of the business is essential for an owner. Besides understanding the value, an owner must understand the factors that increase and decrease the...
Oct 16, 2019 | Business, Business Valuation, Exit Strategy, SBA Financing, Small Business
Financing a partnership buyout can be a tricky situation. By knowing your options and selecting the best fit, both the buyer and the seller can benefit. There are many ways to structure the financing of your partnership buyout. A few options include lump-sum payments,...
Oct 1, 2019 | Business, Business Valuation, Financial Analysis, Small Business
Solvency ratios measure the sustainability of the business’s capital structure. These ratios show a company’s ability to pay off long-term obligations to creditors, bondholders, and banks. Business valuations use financial analysis to determine the value of a company....
Sep 27, 2019 | Business, Business Valuation, Financial Analysis, Small Business
Liquidity is the ability to convert assets into cash quickly. Learning about each of these ratios can help you identify trends as well as make changes to your operations. Comparing them internally to previous time periods allows you to track changes. While comparing...
Sep 24, 2019 | Business, Business Valuation, Financial Analysis, Small Business
As a business owner, it is important to understand how efficient your company is at managing assets such as inventory and receivables. This information is identified during a financial analysis exercise. Efficiency ratios vary from industry to industry, but the most...
Sep 20, 2019 | Business, Business Valuation, Small Business, Value Enhancement
Financial statement analysis is used by many groups of people. Some of these include investors and creditors who are making investment and lending decisions. Most importantly, business owners can use them to measure the effectiveness of their operations, investments,...