Your Valuation

Planning to sell your small business in the next 1-3 years?

If so, it’s critical to have help through the process, especially when putting together a plan for selling. By working with our team of experts today, we can help you increase how much your business is worth by at least 10%, as well as decrease the amount of time it takes to sell when you are ready.

With our Valuation & Advisory Program, Collaborative leverages years of experience and knowledge gained from a thousand deals to help you understand:

What’s most important to buyers when evaluating your business

How banks and the Small Business Administration (SBA) will evaluate your business for approval of buyer financing

The true cash flow of your business, including both operating profits and applicable owner benefit “add backs” that represent net owner benefit

The market value of your business

Which areas of your business need to be improved to maximize its value, and how can you track those improvements

The value generated by your business, above and beyond income generated, and how can you quantify the ways in which your business contributes to your quality of life

How to know when it’s the right time to sell

Valuation & Advisory

Our Valuation & Advisory Program has been refined over the years to prepare your business for the best possible outcome in selling.

Saleability Advising

Collaborative serves business owners looking for a specific result: to efficiently increase the value of their business based on “bankable” value. With the experience of 30+ years and 1,200+ transactions, our deal team has built an incredibly valuable perspective on exactly how small business sales happen. We offer affordable services that can increase the value and saleability of your business.

Bankable Value

We understand what drives the sale of a business. Your financial results (sales, profits, etc.) and value elements (employees, processes, etc.) are what interested buyers use to evaluate a business acquisition – it is also what banks and the SBA use to determine loan approval and lending amounts for a buyer to acquire a business. This bankable value is the focus of our client engagements working to prepare and sell your business.

Measurable Results

Collaborative’s proprietary “Opinion of Value” (OOV) tool is the basis of our engagements, both in preparing to sell, and actually selling your business. The OOV tool has been a game-changer in the world of small business acquisitions/divestitures. It provides an objective, action-driven assessment of bankable business value, and how it trends over time, including:

• Financial Assessment: evaluating profit and loss, quantifying owner benefit “add backs” important to valuation, and identifying trends.

• Value Elements: a structured review of your strategy, products and services, customers and revenue, operations and people, and financials and risks – focused on the key levers that can increase business value. A roadmap for making improvements that increase value.

• Business Valuation: combining financial results and assessment of the value elements, along with our decades of expertise, to determine the Opinion of Value.

Flexible Engagements

We can structure advising services based on the business owner’s financial plan and capacity for the owner (and staff) to participate in the process. We always provide documented plans, a guaranteed scope of work, the option to cancel services any time, and fees paid in affordable installments over the life-span on the engagement.

Aligned Services

Collaborative is confident our services will add tremendous value to your business – all fees paid for advisory services to prep your business for sale are credited 100% to the commission we earn at closing when your business sells.