Valuation for business aquisitions
A Wingman business valuation involves a comprehensive study of the company in question. We analyse its balance sheet, profit growth developments and cash flows over the past years. The strengths, weaknesses, opportunities and threats faced by the business are carefully evaluated as well as industry trends. What are realistic prognoses for the future if the policy remains unchanged? And what cash flows can be generated with you as the new shareholder?
There are a large number of valuation methods suitable (or less suitable) for use in a wide variety of contexts. The Discounted Cash Flow (DCF) method and related Adjusted Present Value (APV) method are based on the elements of time, cash flows and risk. After all, the value of the company you are looking to buy is determined by the future cash flows it can generate. Which is precisely what these methods are calculating.
Both the DCF method and APV method have proven to be effective in the practice of business valuation. So, in principle, our assessments are based on one of these methods. Where necessary other methods are used, and also a sanity check is performed on the results of the DCF and APV analysis in order to increase plausibility.
Over the past years, Wingman has proven to be a reliable partner, supporting a wide range of companies making purchasing decisions. We provide insight into value and advise clients without having a vested interest in the transaction.