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M&A Blog #16 – valuation (Discounted Cash Flow)

Francine Way

As I mentioned in my last post, Discounted Cash Flow (DCF) is a valuation method that uses free cash flow projections, a discount rate, and a growth rate to find the present value estimate of a potential investment. Determine the current value of non-operating assets (cash) and the Enterprise Value.

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Methods and Examples on How to Value a Company

Lake Country Advisors

It’s integral to ensuring that the sale benefits all stakeholders and should be one of your priorities before advertising it to potential buyers. It’s a delicate balancing act, as inaccurate valuations have polarizing consequences. However, company valuation isn’t as simple as slapping a price on your business.

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Why Accurate Financials are Key to Success in Buying, Selling, and Valuing Businesses

How2Exit

E247: Why Accurate Financials are Key to Success in Buying, Selling, and Valuing Businesses - Watch Here About the Guest(s): Ryan Hutchins is an accomplished entrepreneur and expert in the field of mergers and acquisitions. Hutchins emphasizes, "You live or die by the cash in your bank account, which is not a great way to run a business."

Business 130
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Understanding Valuation Techniques in Mergers and Acquisitions

Sun Acquisitions

By comparing key financial metrics such as price-to-earnings (P/E) ratios, price-to-sales (P/S) ratios, and price-to-book (P/B) ratios, analysts can estimate the target company’s value. Discounted Cash Flow (DCF) analysis is a commonly used income-based valuation technique.

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Mergers and Acquisitions Valuation Strategies: Unlocking the Secrets to Successful M&A Transactions

Sun Acquisitions

It’s the process of determining the financial worth of a business, helping acquirers and sellers establish a fair price and make informed decisions. It uncovers any hidden risks or opportunities, allowing parties to assess the target company’s financial health. The net asset value represents the company’s worth.

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M&A Blog #15 – valuation (tools and data preparation)

Francine Way

Access to credible sources of information such as SEC EDGAR database , Treasury.gov , OECD GDP Forecast , Mergent Online, S&P Capital IQ, Hoovers, ValueLine, Yahoo Finance , MarketWatch , and Damodaran Online. I will discuss general tools and credible sources of information that a valuation professional can use for the analysis.

Valuation 130
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Useful Software Industry Acronyms for Executives

Software Equity Group

Being aware of these terms and their implications can significantly enhance your ability to navigate negotiations, make informed business decisions, and demonstrate a comprehensive understanding of your company’s value. The metric indicates the amount of cash flow generated after expenses.