Finantis Value assists you in any financial valuation operation of your business, whether in a context of sale / takeover or merger / acquisition, in a fiscal context (exit tax or other), legal matters… The valuation carried out by an independent third party helps to protect the partners or shareholders of companies in their operations and to secure their approach before resorting, for example, to an auditor.
To determine the value of a company, we focus first and foremost on understanding its business, its specificities, identifying the main assets, positioning the company on its market, its environment. Then we integrate in our analysis the patrimonial situation of the company, its potential for growth and profitability. Finally, we draw up an inventory of the risks that should be characterized, particularly in the context of the financial valuation.
There are several methods of business valuation.
The relevance and the choice of the methods depend on the activity of the company, its characteristics, the context of the operation (conflict between partners, transfer of the company, etc.):
- Intrinsic methods are based on the characteristics of the company, which allow it to generate cash flow in the future. The most common intrinsic method is discounted free cash flows (DCF). We also apply methods such as revalued net assets, which often define a low valuation range.
- We use intangible assets valuation methods (trademarks, software, patents …) when they represent a determining part of the future business.
- Analogical methods consist in applying one or more benchmark ratios from a group of comparable companies (multiples of operating income or net results method, study of comparable transactions).
- We can also consider other valuation methods such as real options
Our mission results in the submission to our client of a documented report to support his operations.