Situation
A business owner in New Hampshire decided it was time to sell his business and contacted Lou Pereira, President of Merrimack Business Appraisers. He had worked with Pereira years ago when Pereira had developed a thorough business valuation to successfully settle a shareholder dispute.
The owner had engaged a business broker to bring his business to market, but was not comfortable with the valuation that the broker had provided. The simple valuation provided by the business broker was unsubstantiated and the owner was not comfortable going to market without understanding the rationale for the value determined. He contacted Lou to invest in a detailed business valuation to support why the valuation was determined and how it was determined.
Merrimack Business Appraisers’ Approach
Lou Pereira prepared a thorough and detailed business valuation of the New Hampshire business, applying his proven process to determine the valuation and to support both how and why the valuation was calculated.
Valuation Outcome
Merrimack Business Appraiser’s client was comforted and satisfied to have invested in a detailed business valuation that clearly and logically presented the rationale for the company’s valuation, a number that was valued higher than the simple valuation submitted by the business broker.
The business was successfully sold for the higher value, reinforcing the importance of understanding the numbers to maximize return on the sale.
