Position your company for future growth
Your business is your most valuable asset – but how valuable is it? At ClearPath, we combine valuation expertise and real-world experience in buying and selling companies to accurately value your business. Our team of seasoned executives and expert valuation analysts have decades of combined experience in valuation.
Common Reasons for Valuations
- Gifting and Estate Tax
- Section 409A
- Section 338(H)(10)
- Section 1060
- ASC 360 (Impairment Testing)
- ASC 805 (Purchase Price Allocations)
- Valuing an Acquisition Target
- Evaluating an Acquisition Offer
- Shareholder or Partnership Disputes and Buyouts
- Litigation Support
- ESOP Requirements
- Stock Appreciation Rights
- Valuation Review/Second Opinion
- Retirement and Succession Planning
A valuation will provide the information you need for tax and financial reporting, issuing equity-based compensation, creating or evaluating an acquisition offer, or resolving ownership disputes fairly. Additionally, valuation can serve as a starting point on your path to a more healthy, sellable business.
ClearPath’s Valuation Services Can Help You:
Understand what your business is worth today
Value another business that you are considering purchasing
Grant stock options to employees and contractors
Get a professional second opinion on a valuation report from another firm
Create a baseline value for other equity-based incentive programs, such as phantom equity or stock appreciation rights
Sell shares or ownership interests in your business
Support your efforts to raise additional capital
Meet annual valuation requirements for Employee Stock Ownership Plans (ESOPs)
Meet financial reporting requirements
Plan for succession or retirement
Support your gift and estate tax planning with a thorough, defensible valuation
ClearPath’s Valuation Process
Our valuation service is designed for you, your business, and the industry in which you operate. Unlike other cookie-cutter valuation firms, we understand every business is different and must be analyzed carefully. We take pride in the fact our research, modeling, and analysis is done in-house, and in-house only.
Our experts learn your business inside-and-out, resulting in valuations that are clear, realistic, and defensible if challenged. Alongside the long-form valuation report, we take the time to explain in real-world business terms the why behind your business’ valuation.
ClearPath’s Valuation Deliverables
A valuation report will outline the appropriate standard of value and premise of value. Standards of value include fair market value, fair value, and strategic or investment value. Premises of value considered are book value, going concern, liquidation, or replacement value. We analyze IRS Revenue Rulings, Department of Labor standards, court decisions, corporate documents, and the ASC to ensure compliance with the valuation standards that apply to you. We clearly lay out the scope of our analysis, any materials used, types of industry and financial analysis performed, valuation techniques utilized, risk adjustments, and anything else that impacts valuation.
While exact methodologies vary by industry and business type, all of our detailed valuation reports provide the following insights in addition to our Conclusion of Value:
Discussion of the current macroeconomic environment
A review of M&A transaction activity with an emphasis on your industry and/or geography
A discussion of your product/service and customers, as well as any threatening competitors
An analysis of the financial health of your firm, including:
- Where You Stand vs Industry
A clear, real-world explanation of valuation concepts and terms
Multiple valuation techniques:
- Income Approaches
- Market Approaches
- Special Techniques
A discussion of which valuation techniques are most applicable to your business and industry
Why Choose ClearPath
On average, we deliver a full valuation report within 4 weeks of receipt of our information request list. Our team has the skill and experience you need.
Increase in valuation
M&A Transactons Closed
Our valuations conform to the professional standards of the National Association of Certified Valuators and Analysts (NACVA), based on the needs of each individual valuation engagement.