5 Key Value Drivers When Selling a Company: RHC’s Insights

5 Key Value Drivers When Selling a Company: RHC’s Insights RobinOctober 12, 2024 Selling your company is one of the biggest decisions you’ll ever make, and the key to a successful exit lies in understanding what drives the value of your business. While every deal is unique, there are five universal value drivers that investors […]

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RHC’s Business Owner’s Guide to a Successful Exit

RHC’s Business Owner’s Guide to a Successful Exit RobinOctober 12, 2024 For business owners considering an exit, a successful sale is the culmination of years of hard work. But selling your company involves more than just finding a buyer — it requires careful planning, preparation, and expert advice to maximize the value of your business.

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The Seller’s Guide to Understanding EBITDA

The Seller’s Guide to Understanding EBITDA RobinOctober 12, 2024Tags: Deal Advice, Business Valuation For business owners considering selling their company, understanding EBITDA is crucial. But let’s face it: acronyms like EBITDA can feel like they’re straight out of an MBA textbook. What does it really mean, and why does it matter so much during a

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How to Value a Company for Sale: 3 Methods + Common Mistakes to Avoid

How to Value a Company for Sale: 3 Methods + Common Mistakes to Avoid

When it comes to valuing a company for sale, you’ll encounter three primary methods: Discounted Cash Flow (DCF), Comparable Companies, and Precedent Transactions. But here’s the catch — just knowing these methods isn’t enough. An accurate valuation reveals your company’s true market value — the value that potential buyers will agree on. And this insight is crucial because it helps you decide whether now is the right time to sell or if you should work on increasing your company’s value.

In this guide, we’ll cover:

3 methods to value a company (and how to use them)
Common mistakes to avoid
How an M&A advisor can help you get the best value for your business
Discounted Cash Flow (DCF) Analysis DCF analysis estimates your company’s value by forecasting future cash flows and discounting them to present value. It’s a great tool for understanding long-term potential, but it’s only one part of the equation. Don’t forget to factor in market sentiment and buyer demand.

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