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What is the value of your business?

What exactly do you know about the valuation of your business? Many business owners are busy with the day-to-day business, the day-to-day operation. They have no idea what the enterprise value is. Steering for enterprise value is one most important thing you can do as an entrepreneur.

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The most important thing is that you yourself are ready to sell your business. This is difficult, because a business is never completely finished. With a good plan and reliable advice, we ensure a successful sale of your business. We ensure that the business sale ultimately leads to new opportunities.

You can calculate an initial estimate of the value of your business yourself with the online tool:

Calculate enterprise value directly

Selling a business - Buying a business - Financing

Valuation methods

We work with different types of valuations: from concise to very comprehensive. Valuation of the company is about the cash flows in the future, the EBITDA: Earnings Before Interest, Taxes, Depreciation and Amortization.

In advance, we consult with you on what is appropriate for your business. You will receive from Next Steps a concise summary with all relevant information from the valuation: concrete and practically usable.

The value of a company is determined by many factors, such as scalability, a unique market position or patents a company holds. With these companies, mostly from the High Technology, Lifescience & Technology and Fintech sectors, valuation is done differently. Contact us for more information.

Are you ready to sell your business yourself? And is your business ready for sale? Or are points by which the value can be increased in the short term?

Test: is your business sales ready?

Frequently Asked Questions

Here are some of the most frequently asked questions about valuing your business. Do you have further questions? Then you can always contact us
What does business valuation mean?

Business valuation is the process of determining the economic value of a business or company. Business valuation is a profession in its own right. At Next Steps, we help with the valuation of your business.

Why partner with Next Steps?
  1. We provide a clear picture about the potential valuation of your business.
  2. We provide insight into current market and industry trends that affect the company's valuation.
  3. We help identify potential red flags or areas of concern that negatively impact the value of the company.
  4. We help prepare the necessary financial documents and reports required for a business valuation.
  5. We assist in negotiating a fair price and deal terms.
  6. We provide emotional support and advice throughout the business valuation process, as selling is a stressful and emotional experience for business owners.

Support from experienced professionals like those at Next Steps is important. We ensure that the valuation of your business is accurate and complete. We also ensure that you make informed decisions based on this valuation. We communicate directly with the entrepreneur. Together with the business owner, Next Steps ensures optimal value where all parties feel good about the transaction.

What does: income-based business valuation mean?

This methodology focuses on the company's expected future cash flows and the risk associated with those cash flows. The most common methods within this methodology are Discounted Cash Flow (DCF) and capitalization of earnings. At Next Steps, we are familiar with all methodologies in this area of business valuation.

What does: market-based business valuation mean?

This method uses market data to estimate a company's valuation. By comparing it to similar companies that have recently been sold, it is a reliable method. The most common method of business valuation within this approach is the Guideline Limited Liability Company Method. We are happy to help you with this business valuation.

What does asset-based business valuation mean?

This method focuses on the intrinsic value of the business. The intrinsic value of a business is calculated by subtracting liabilities from assets. The most common method within this approach is the modified book value method. At Next Steps, we are more than familiar with this method of business valuation.

Why are strong financials important for your business valuation?

A company with strong financials is more likely to have a higher valuation than one with weak financials. Consider steady sales growth, healthy profit margins and manageable debt. You also attract more potentially interested parties, giving you something to choose from and negotiate.

Why is a unique value proposition important in business valuation?

A unique value proposition makes a company more attractive to investors and increases company valuation. Examples of a unique value proposition include a patented product or service, a strong brand or a significant market share.

Why is growth potential important for company valuation?

A company that has the potential for significant growth is more likely to achieve a higher valuation. Examples of growth potential include expanding into new markets, introducing new products or services, or using technology to increase efficiency.

Why is management important to business valuation?

An experienced and capable management team gives investors confidence. Also, such management demonstrates potential for long-term success. This leads to a higher valuation of the company.

Is a strong position in the industry important for business valuation?

A company that has a strong position within its industry is more likely to have a higher valuation. You create a higher business valuation by being a market leader or having a significant competitive advantage, for example.

Is a strategic partnership important for valuation?

Strategic partnerships with other companies or organizations increase a company's market share, access to resources and overall business value. By forming strategic partnerships, you share each other's audience and resources. This makes you even stronger and more effective. This affects a company's valuation.

Is good corporate governance important to a company's value?

Examples of good governance include a strong board of directors and ethical business practices. Good corporate governance demonstrates a company's commitment to responsible and sustainable growth. These facets increase a company's value.

What other factors are important in valuing a company?

It is worth noting that achieving a high company valuation is not guaranteed. Even if a company has all the factors that are normal for a good valuation. Ultimately, a company's valuation is also determined by other factors such as:

  • Market.
  • External factors such as economic conditions.
  • Industry trends.

Seeking advice and support from experienced professionals like Next Steps increases the likelihood of achieving a high business valuation. We identify areas for improvement and develop strategies to maximize your business value.


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