Business appraisalsDON't SELL YOURSELF SHORT.
Appraisals should be performed at regular intervals to help monitor your business.
Know Your Worth.
A qualified appraiser can determine the fair market value of your business. This is critical to the marketing of a business. It will help educate and inform potential buyers as well as provide the lending institution the necessary information to fund the closing.
A proper appraisal will arrive at a value to allow the Buyer to pay expenses, earn a reasonable living, and pay off the business in a reasonable period of time.
An appraisal is critical if businesses are to be merged. It is impossible to create any idea of ownership in the new business if you don’t know what they are worth individually.
Having a formal agreement can aid in the desired exit strategy and succession of ownership under even the worst of situations. Appraisals are necessary to develop the ground work to a good plan.
An appraisal can help you to plan your estate with your advisers. Without this, no buy/sell agreement can be in place and marketing the business will be hindered. In the case of death or disability, time is of the essence and huge losses to the business and your estate are inevitable unless the appraisal is in place.