{"id":455,"date":"2025-08-21T10:45:24","date_gmt":"2025-08-21T08:45:24","guid":{"rendered":"https:\/\/www.evaliancecapital.fr\/methodes-criteres-et-conseils-pour-bien-evaluer-une-entreprise\/"},"modified":"2025-08-29T10:45:43","modified_gmt":"2025-08-29T08:45:43","slug":"methods-criteria-and-advice-for-properly-evaluating-a-company","status":"publish","type":"post","link":"https:\/\/www.evaliancecapital.fr\/en\/methods-criteria-and-advice-for-properly-evaluating-a-company\/","title":{"rendered":"Methods, criteria and advice for properly evaluating a company"},"content":{"rendered":"[vc_row type=&#8221;in_container&#8221; full_screen_row_position=&#8221;middle&#8221; column_margin=&#8221;default&#8221; column_direction=&#8221;default&#8221; column_direction_tablet=&#8221;default&#8221; column_direction_phone=&#8221;default&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; row_border_radius=&#8221;none&#8221; row_border_radius_applies=&#8221;bg&#8221; overflow=&#8221;visible&#8221; overlay_strength=&#8221;0.3&#8243; gradient_direction=&#8221;left_to_right&#8221; shape_divider_position=&#8221;bottom&#8221; bg_image_animation=&#8221;none&#8221;][vc_column column_padding=&#8221;no-extra-padding&#8221; column_padding_tablet=&#8221;inherit&#8221; column_padding_phone=&#8221;inherit&#8221; column_padding_position=&#8221;all&#8221; column_element_direction_desktop=&#8221;default&#8221; column_element_spacing=&#8221;default&#8221; desktop_text_alignment=&#8221;default&#8221; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_backdrop_filter=&#8221;none&#8221; column_shadow=&#8221;none&#8221; column_border_radius=&#8221;none&#8221; column_link_target=&#8221;_self&#8221; column_position=&#8221;default&#8221; gradient_direction=&#8221;left_to_right&#8221; overlay_strength=&#8221;0.3&#8243; width=&#8221;1\/1&#8243; tablet_width_inherit=&#8221;default&#8221; animation_type=&#8221;default&#8221; bg_image_animation=&#8221;none&#8221; border_type=&#8221;simple&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221;][vc_column_text css=&#8221;.vc_custom_1756453690633{margin-bottom: 0px&nbsp;!important;}&#8221; text_direction=&#8221;default&#8221;]\n<p data-start=\"83\" data-end=\"495\">The <strong data-start=\"87\" data-end=\"113\">valuation of a company<\/strong> is a key step in any sale, acquisition, merger, or fundraising process. Yet many owners overestimate or underestimate the real value of their business, due to a lack of rigorous method or market knowledge. So, <strong data-start=\"324\" data-end=\"367\">how can a company\u2019s value be estimated&nbsp;?<\/strong> What are the most common <strong data-start=\"393\" data-end=\"414\">valuation methods <\/strong>? And how can this valuation be optimized in the context of a sale or transfer&nbsp;?<\/p>\n<p data-start=\"497\" data-end=\"575\">Here is a clear and structured overview to answer these essential questions.<\/p>\n[\/vc_column_text][\/vc_column][\/vc_row][vc_row type=&#8221;in_container&#8221; full_screen_row_position=&#8221;middle&#8221; column_margin=&#8221;default&#8221; column_direction=&#8221;default&#8221; column_direction_tablet=&#8221;default&#8221; column_direction_phone=&#8221;default&#8221; scene_position=&#8221;center&#8221; top_padding=&#8221;60&#8243; top_padding_tablet=&#8221;30&#8243; top_padding_phone=&#8221;20&#8243; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; row_border_radius=&#8221;none&#8221; row_border_radius_applies=&#8221;bg&#8221; overflow=&#8221;visible&#8221; overlay_strength=&#8221;0.3&#8243; gradient_direction=&#8221;left_to_right&#8221; shape_divider_position=&#8221;bottom&#8221; bg_image_animation=&#8221;none&#8221; gradient_type=&#8221;default&#8221; shape_type=&#8221;&#8221;][vc_column column_padding=&#8221;no-extra-padding&#8221; column_padding_tablet=&#8221;inherit&#8221; column_padding_phone=&#8221;inherit&#8221; column_padding_position=&#8221;all&#8221; column_element_direction_desktop=&#8221;default&#8221; column_element_spacing=&#8221;default&#8221; desktop_text_alignment=&#8221;default&#8221; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_backdrop_filter=&#8221;none&#8221; column_shadow=&#8221;none&#8221; column_border_radius=&#8221;none&#8221; column_link_target=&#8221;_self&#8221; column_position=&#8221;default&#8221; gradient_direction=&#8221;left_to_right&#8221; overlay_strength=&#8221;0.3&#8243; width=&#8221;1\/1&#8243; tablet_width_inherit=&#8221;default&#8221; animation_type=&#8221;default&#8221; bg_image_animation=&#8221;none&#8221; border_type=&#8221;simple&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221;][vc_column_text css=&#8221;.vc_custom_1756453724448{margin-bottom: 0px&nbsp;!important;}&#8221; text_direction=&#8221;default&#8221;]\n<h3><span style=\"color: #86c542;\">The value of a company&nbsp;: between perception and reality<\/span><\/h3>\n[\/vc_column_text][divider line_type=&#8221;No Line&#8221;][vc_column_text css=&#8221;&#8221; text_direction=&#8221;default&#8221;]\n<p data-start=\"93\" data-end=\"387\">It is common to hear a business owner say&nbsp;: \u201cMy company is worth 3 times its revenue\u201d or \u201cIt\u2019s worth 5 times its net income.\u201d While these formulas can serve as rough indicators, they do not account for many key elements&nbsp;: financial structure, debt, cash, industry sector, growth potential, etc.<\/p>\n<p data-start=\"389\" data-end=\"452\">It is therefore essential to distinguish between two notions&nbsp;:<\/p>\n<ul data-start=\"453\" data-end=\"658\">\n<li data-start=\"453\" data-end=\"559\">\n<p data-start=\"455\" data-end=\"559\"><strong data-start=\"455\" data-end=\"476\">Theoretical value <\/strong>: based on the fundamentals of the business (assets, profitability, projections).<\/p>\n<\/li>\n<li data-start=\"560\" data-end=\"658\">\n<p data-start=\"562\" data-end=\"658\"><strong data-start=\"562\" data-end=\"578\">Market price <\/strong>: which depends on supply and demand at a given moment, in a specific context.<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"660\" data-end=\"776\">This is why working with a <strong data-start=\"687\" data-end=\"716\">business valuation expert<\/strong> provides an objective, credible, and defensible estimate.<\/p>\n[\/vc_column_text][\/vc_column][\/vc_row][vc_row type=&#8221;in_container&#8221; full_screen_row_position=&#8221;middle&#8221; column_margin=&#8221;default&#8221; column_direction=&#8221;default&#8221; column_direction_tablet=&#8221;default&#8221; column_direction_phone=&#8221;default&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; row_border_radius=&#8221;none&#8221; row_border_radius_applies=&#8221;bg&#8221; overflow=&#8221;visible&#8221; overlay_strength=&#8221;0.3&#8243; gradient_direction=&#8221;left_to_right&#8221; shape_divider_position=&#8221;bottom&#8221; bg_image_animation=&#8221;none&#8221; gradient_type=&#8221;default&#8221; shape_type=&#8221;&#8221;][vc_column column_padding=&#8221;no-extra-padding&#8221; column_padding_tablet=&#8221;inherit&#8221; column_padding_phone=&#8221;inherit&#8221; column_padding_position=&#8221;all&#8221; column_element_direction_desktop=&#8221;default&#8221; column_element_spacing=&#8221;default&#8221; desktop_text_alignment=&#8221;default&#8221; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_backdrop_filter=&#8221;none&#8221; column_shadow=&#8221;none&#8221; column_border_radius=&#8221;none&#8221; column_link_target=&#8221;_self&#8221; column_position=&#8221;default&#8221; gradient_direction=&#8221;left_to_right&#8221; overlay_strength=&#8221;0.3&#8243; width=&#8221;1\/1&#8243; tablet_width_inherit=&#8221;default&#8221; animation_type=&#8221;default&#8221; bg_image_animation=&#8221;none&#8221; border_type=&#8221;simple&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221;][vc_column_text css=&#8221;.vc_custom_1756200461536{margin-bottom: 0px\u00a0!important;}&#8221; text_direction=&#8221;default&#8221;]\n<h3><span style=\"color: #86c542;\">The main methods of business valuation<\/span><\/h3>\n[\/vc_column_text][divider line_type=&#8221;No Line&#8221;][vc_column_text css=&#8221;&#8221; text_direction=&#8221;default&#8221;]\n<p data-start=\"97\" data-end=\"304\">There is no single universal method to value a company, but <strong data-start=\"157\" data-end=\"179\">several approaches<\/strong> that can be adapted depending on the company\u2019s profile, its sector, and the objective (sale, capital increase, LBO, etc.).<\/p>\n<p data-start=\"306\" data-end=\"509\"><strong data-start=\"306\" data-end=\"332\">1. Asset-based methods<\/strong><br data-start=\"332\" data-end=\"335\" \/>These rely on the value of the assets recorded on the balance sheet, adjusted if necessary. Mainly used for companies with significant real estate or capital, they include&nbsp;:<\/p>\n<ul data-start=\"510\" data-end=\"613\">\n<li data-start=\"510\" data-end=\"555\">\n<p data-start=\"512\" data-end=\"555\"><strong data-start=\"512\" data-end=\"531\">Net asset value<\/strong> (adjusted net assets)<\/p>\n<\/li>\n<li data-start=\"556\" data-end=\"613\">\n<p data-start=\"558\" data-end=\"613\"><strong data-start=\"558\" data-end=\"579\">Replacement value<\/strong> (cost of rebuilding the assets)<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"615\" data-end=\"754\"><strong data-start=\"615\" data-end=\"642\">2. Income-based methods<\/strong><br data-start=\"642\" data-end=\"645\" \/>These financial approaches focus on the company\u2019s ability to <strong data-start=\"706\" data-end=\"726\">generate profits<\/strong> or <strong data-start=\"730\" data-end=\"751\">future cash flows <\/strong>:<\/p>\n<ul data-start=\"755\" data-end=\"913\">\n<li data-start=\"755\" data-end=\"787\">\n<p data-start=\"757\" data-end=\"787\">Capitalization of net income<\/p>\n<\/li>\n<li data-start=\"788\" data-end=\"823\">\n<p data-start=\"790\" data-end=\"823\">Discounted cash flows (<strong data-start=\"813\" data-end=\"820\">DCF<\/strong>)<\/p>\n<\/li>\n<li data-start=\"824\" data-end=\"913\">\n<p data-start=\"826\" data-end=\"913\">Multiples method&nbsp;: for example, applying a sector-adjusted multiple of EBITDA or EBIT.<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"915\" data-end=\"1051\"><strong data-start=\"915\" data-end=\"927\">Example&nbsp;:<\/strong> a company valued at 4 to 5 times its EBITDA, depending on its potential, with net cash added and financial debt deducted.<\/p>\n<p data-start=\"1053\" data-end=\"1235\"><strong data-start=\"1053\" data-end=\"1080\">3. Market-based methods<\/strong><br data-start=\"1080\" data-end=\"1083\" \/>These compare the company to other similar businesses recently sold or publicly listed. Often used in a tax context, or to validate a valuation range.<\/p>\n[\/vc_column_text][\/vc_column][\/vc_row][vc_row type=&#8221;in_container&#8221; full_screen_row_position=&#8221;middle&#8221; column_margin=&#8221;default&#8221; column_direction=&#8221;default&#8221; column_direction_tablet=&#8221;default&#8221; column_direction_phone=&#8221;default&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; row_border_radius=&#8221;none&#8221; row_border_radius_applies=&#8221;bg&#8221; overflow=&#8221;visible&#8221; overlay_strength=&#8221;0.3&#8243; gradient_direction=&#8221;left_to_right&#8221; shape_divider_position=&#8221;bottom&#8221; bg_image_animation=&#8221;none&#8221;][vc_column column_padding=&#8221;no-extra-padding&#8221; column_padding_tablet=&#8221;inherit&#8221; column_padding_phone=&#8221;inherit&#8221; column_padding_position=&#8221;all&#8221; column_element_direction_desktop=&#8221;default&#8221; column_element_spacing=&#8221;default&#8221; desktop_text_alignment=&#8221;default&#8221; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_backdrop_filter=&#8221;none&#8221; column_shadow=&#8221;none&#8221; column_border_radius=&#8221;none&#8221; column_link_target=&#8221;_self&#8221; column_position=&#8221;default&#8221; gradient_direction=&#8221;left_to_right&#8221; overlay_strength=&#8221;0.3&#8243; width=&#8221;1\/1&#8243; tablet_width_inherit=&#8221;default&#8221; animation_type=&#8221;default&#8221; bg_image_animation=&#8221;none&#8221; border_type=&#8221;simple&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221;][vc_column_text css=&#8221;.vc_custom_1756200507344{margin-bottom: 0px\u00a0!important;}&#8221; text_direction=&#8221;default&#8221;]\n<h3><span style=\"color: #86c542;\">Key criteria to consider<\/span><\/h3>\n[\/vc_column_text][divider line_type=&#8221;No Line&#8221;][vc_column_text css=&#8221;&#8221; text_direction=&#8221;default&#8221;]\n<p data-start=\"96\" data-end=\"178\">To choose the right valuation method, <strong data-start=\"134\" data-end=\"154\">several elements<\/strong> must be <strong data-start=\"163\" data-end=\"175\">analyzed <\/strong>:<\/p>\n<ul data-start=\"179\" data-end=\"497\">\n<li data-start=\"179\" data-end=\"234\">\n<p data-start=\"181\" data-end=\"234\"><strong data-start=\"181\" data-end=\"197\">Company size<\/strong> (SME, small business, large group)<\/p>\n<\/li>\n<li data-start=\"235\" data-end=\"296\">\n<p data-start=\"237\" data-end=\"296\"><strong data-start=\"237\" data-end=\"256\">Industry sector<\/strong> (manufacturing, tech, services, etc.)<\/p>\n<\/li>\n<li data-start=\"297\" data-end=\"338\">\n<p data-start=\"299\" data-end=\"338\"><strong data-start=\"299\" data-end=\"318\">Geographic area<\/strong> and target market<\/p>\n<\/li>\n<li data-start=\"339\" data-end=\"381\">\n<p data-start=\"341\" data-end=\"381\"><strong data-start=\"341\" data-end=\"379\">Profitability and growth prospects<\/strong><\/p>\n<\/li>\n<li data-start=\"382\" data-end=\"431\">\n<p data-start=\"384\" data-end=\"431\"><strong data-start=\"384\" data-end=\"410\">Shareholding structure<\/strong> and financial debt<\/p>\n<\/li>\n<li data-start=\"432\" data-end=\"497\">\n<p data-start=\"434\" data-end=\"497\"><strong data-start=\"434\" data-end=\"464\">Purpose of the transaction<\/strong> (retirement, buyer, LBO, etc.)<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"499\" data-end=\"710\">For example, in <strong data-start=\"515\" data-end=\"549\">volatile or innovative sectors<\/strong>, a cash flow approach (DCF) is often preferred. Conversely, for a more traditional company with significant assets, an asset-based valuation remains relevant.<\/p>\n[\/vc_column_text][\/vc_column][\/vc_row][vc_row type=&#8221;in_container&#8221; full_screen_row_position=&#8221;middle&#8221; column_margin=&#8221;default&#8221; column_direction=&#8221;default&#8221; column_direction_tablet=&#8221;default&#8221; column_direction_phone=&#8221;default&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; row_border_radius=&#8221;none&#8221; row_border_radius_applies=&#8221;bg&#8221; overflow=&#8221;visible&#8221; overlay_strength=&#8221;0.3&#8243; gradient_direction=&#8221;left_to_right&#8221; shape_divider_position=&#8221;bottom&#8221; bg_image_animation=&#8221;none&#8221;][vc_column column_padding=&#8221;no-extra-padding&#8221; column_padding_tablet=&#8221;inherit&#8221; column_padding_phone=&#8221;inherit&#8221; column_padding_position=&#8221;all&#8221; column_element_direction_desktop=&#8221;default&#8221; column_element_spacing=&#8221;default&#8221; desktop_text_alignment=&#8221;default&#8221; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_backdrop_filter=&#8221;none&#8221; column_shadow=&#8221;none&#8221; column_border_radius=&#8221;none&#8221; column_link_target=&#8221;_self&#8221; column_position=&#8221;default&#8221; gradient_direction=&#8221;left_to_right&#8221; overlay_strength=&#8221;0.3&#8243; width=&#8221;1\/1&#8243; tablet_width_inherit=&#8221;default&#8221; animation_type=&#8221;default&#8221; bg_image_animation=&#8221;none&#8221; border_type=&#8221;simple&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221;][vc_column_text css=&#8221;.vc_custom_1756453697905{margin-bottom: 0px&nbsp;!important;}&#8221; text_direction=&#8221;default&#8221;]\n<h3><span style=\"color: #86c542;\">How to optimize your company\u2019s valuation before a sale&nbsp;?<\/span><\/h3>\n[\/vc_column_text][divider line_type=&#8221;No Line&#8221;][vc_column_text css=&#8221;&#8221; text_direction=&#8221;default&#8221;]\n<p data-start=\"95\" data-end=\"262\">While a company\u2019s value depends on many external factors, it is possible to <strong data-start=\"171\" data-end=\"198\">optimize its perception<\/strong> with buyers or investors. Here are <strong data-start=\"234\" data-end=\"259\">a few concrete levers <\/strong>:<\/p>\n<p data-start=\"264\" data-end=\"487\"><strong data-start=\"264\" data-end=\"305\">1. Clarify the shareholding structure<\/strong><br data-start=\"305\" data-end=\"308\" \/>The fewer shareholders there are, the faster decisions can be made. Concentrating ownership in a small, stable group sends a reassuring signal and strengthens negotiation power.<\/p>\n<p data-start=\"489\" data-end=\"729\"><strong data-start=\"489\" data-end=\"520\">2. Create a holding company<\/strong><br data-start=\"520\" data-end=\"523\" \/>Useful for owners who want to reinvest in another activity after the sale. It allows the <strong data-start=\"612\" data-end=\"645\">deferral of capital gains tax<\/strong> and helps structure future entrepreneurial projects (LBO, external growth, etc.).<\/p>\n<p data-start=\"731\" data-end=\"893\"><strong data-start=\"731\" data-end=\"773\">3. Formalize a shareholders\u2019 agreement<\/strong><br data-start=\"773\" data-end=\"776\" \/>It helps <strong data-start=\"785\" data-end=\"794\">unify<\/strong> the voice of the <strong data-start=\"812\" data-end=\"824\">partners<\/strong> in front of buyers and present a united front during negotiations.<\/p>\n<p data-start=\"895\" data-end=\"1168\"><strong data-start=\"895\" data-end=\"931\">4. Separate non-strategic assets<\/strong><br data-start=\"931\" data-end=\"934\" \/>Removing <strong data-start=\"943\" data-end=\"968\">peripheral activities<\/strong> or <strong data-start=\"972\" data-end=\"987\">real estate<\/strong> from the company refocuses the valuation on operations. For instance, transferring a property into an independent real estate company (SCI) can optimize the transaction tax-wise.<\/p>\n[\/vc_column_text][\/vc_column][\/vc_row][vc_row type=&#8221;in_container&#8221; full_screen_row_position=&#8221;middle&#8221; column_margin=&#8221;default&#8221; column_direction=&#8221;default&#8221; column_direction_tablet=&#8221;default&#8221; column_direction_phone=&#8221;default&#8221; scene_position=&#8221;center&#8221; top_padding=&#8221;60&#8243; top_padding_tablet=&#8221;30&#8243; top_padding_phone=&#8221;20&#8243; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; row_border_radius=&#8221;none&#8221; row_border_radius_applies=&#8221;bg&#8221; overflow=&#8221;visible&#8221; overlay_strength=&#8221;0.3&#8243; gradient_direction=&#8221;left_to_right&#8221; shape_divider_position=&#8221;bottom&#8221; bg_image_animation=&#8221;none&#8221; gradient_type=&#8221;default&#8221; shape_type=&#8221;&#8221;][vc_column column_padding=&#8221;no-extra-padding&#8221; column_padding_tablet=&#8221;inherit&#8221; column_padding_phone=&#8221;inherit&#8221; column_padding_position=&#8221;all&#8221; column_element_direction_desktop=&#8221;default&#8221; column_element_spacing=&#8221;default&#8221; desktop_text_alignment=&#8221;default&#8221; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_backdrop_filter=&#8221;none&#8221; column_shadow=&#8221;none&#8221; column_border_radius=&#8221;none&#8221; column_link_target=&#8221;_self&#8221; column_position=&#8221;default&#8221; gradient_direction=&#8221;left_to_right&#8221; overlay_strength=&#8221;0.3&#8243; width=&#8221;1\/3&#8243; tablet_width_inherit=&#8221;default&#8221; animation_type=&#8221;default&#8221; bg_image_animation=&#8221;none&#8221; border_type=&#8221;simple&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221;][image_with_animation image_url=&#8221;59&#8243; image_size=&#8221;full&#8221; max_width=&#8221;100%&#8221; max_width_mobile=&#8221;default&#8221; animation_type=&#8221;entrance&#8221; animation=&#8221;None&#8221; animation_movement_type=&#8221;transform_y&#8221; hover_animation=&#8221;none&#8221; alignment=&#8221;&#8221; border_radius=&#8221;none&#8221; box_shadow=&#8221;none&#8221; image_loading=&#8221;default&#8221;][\/vc_column][vc_column column_padding=&#8221;no-extra-padding&#8221; column_padding_tablet=&#8221;inherit&#8221; column_padding_phone=&#8221;inherit&#8221; column_padding_position=&#8221;all&#8221; column_element_direction_desktop=&#8221;default&#8221; column_element_spacing=&#8221;default&#8221; desktop_text_alignment=&#8221;default&#8221; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_backdrop_filter=&#8221;none&#8221; column_shadow=&#8221;none&#8221; column_border_radius=&#8221;none&#8221; column_link_target=&#8221;_self&#8221; column_position=&#8221;default&#8221; gradient_direction=&#8221;left_to_right&#8221; overlay_strength=&#8221;0.3&#8243; width=&#8221;2\/3&#8243; tablet_width_inherit=&#8221;default&#8221; animation_type=&#8221;default&#8221; bg_image_animation=&#8221;none&#8221; border_type=&#8221;simple&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221;][vc_column_text css=&#8221;&#8221; text_direction=&#8221;default&#8221;]\n<h3><span style=\"color: #ffde14;\"><strong data-start=\"76\" data-end=\"110\">THE EVALIANCE CAPITAL APPROACH<\/strong><br data-start=\"110\" data-end=\"113\" \/><\/span><\/h3>\n<h3><em>HOW TO ESTIMATE THE REAL VALUE OF A COMPANY&nbsp;?<\/em><\/h3>\n[\/vc_column_text][vc_column_text css=&#8221;&#8221; text_direction=&#8221;default&#8221;]\n<p data-start=\"94\" data-end=\"173\">The <strong data-start=\"98\" data-end=\"120\">business valuation<\/strong> process is a <strong data-start=\"134\" data-end=\"147\">technical<\/strong> exercise that requires&nbsp;:<\/p>\n<ul data-start=\"174\" data-end=\"320\">\n<li data-start=\"174\" data-end=\"219\">\n<p data-start=\"176\" data-end=\"219\">A deep <strong data-start=\"183\" data-end=\"200\">understanding<\/strong> of the business,<\/p>\n<\/li>\n<li data-start=\"220\" data-end=\"268\">\n<p data-start=\"222\" data-end=\"268\">A <strong data-start=\"224\" data-end=\"239\">methodology<\/strong> adapted to the objectives,<\/p>\n<\/li>\n<li data-start=\"269\" data-end=\"320\">\n<p data-start=\"271\" data-end=\"320\">An <strong data-start=\"274\" data-end=\"317\">analysis of past and future performance<\/strong>.<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"322\" data-end=\"567\">It is strongly <strong data-start=\"337\" data-end=\"352\">recommended<\/strong> to cross-check several methods, as done by tax authorities or specialized valuation firms. The fair price always lies between the seller\u2019s expectations and the buyer\u2019s ability to finance and profit from the deal.<\/p>\n<p data-start=\"569\" data-end=\"744\">Need help to <strong data-start=\"582\" data-end=\"604\">value your company <\/strong>? Call on an expert such as <strong data-start=\"632\" data-end=\"653\">Evaliance Capital<\/strong> to obtain a reliable, optimized, and defensible valuation in front of your counterparts.<\/p>\n[\/vc_column_text][\/vc_column][\/vc_row]\n","protected":false},"excerpt":{"rendered":"<p>[vc_row type=&#8221;in_container&#8221; full_screen_row_position=&#8221;middle&#8221; column_margin=&#8221;default&#8221; column_direction=&#8221;default&#8221; column_direction_tablet=&#8221;default&#8221; column_direction_phone=&#8221;default&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; row_border_radius=&#8221;none&#8221; row_border_radius_applies=&#8221;bg&#8221; overflow=&#8221;visible&#8221; overlay_strength=&#8221;0.3&#8243; gradient_direction=&#8221;left_to_right&#8221; shape_divider_position=&#8221;bottom&#8221; bg_image_animation=&#8221;none&#8221;][vc_column column_padding=&#8221;no-extra-padding&#8221; column_padding_tablet=&#8221;inherit&#8221; column_padding_phone=&#8221;inherit&#8221; column_padding_position=&#8221;all&#8221; column_element_direction_desktop=&#8221;default&#8221; column_element_spacing=&#8221;default&#8221; desktop_text_alignment=&#8221;default&#8221; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_backdrop_filter=&#8221;none&#8221; column_shadow=&#8221;none&#8221;&#8230;<\/p>\n","protected":false},"author":1,"featured_media":676,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[22],"tags":[],"class_list":{"0":"post-455","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-preparation-for-sale-and-acquisition"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.0 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Evaluating a business | Methods, criteria and practical advice<\/title>\n<meta name=\"description\" content=\"Learn how to properly value a business using asset, comparative, and profitability methods. 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