{"product_id":"business-valuation-for-dummies-isbn-9780470344019","title":"Business Valuation For Dummies","description":"\u003cp\u003e\u003cb\u003eBuying or selling a business? Acquire the tools and learn the methods for accurate business valuation\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eBusiness valuation is the process of determining the value of a business enterprise or ownership interest. \u003ci\u003eBusiness Valuation For Dummies\u003c\/i\u003e covers valuation methods, including advice on analyzing historical performance, evaluating assets and income value, understanding a company's financial statements, forecasting performance; estimating the cost of capital; and cash flow methods of valuation.\u003c\/p\u003e \u003cp\u003eWritten in plain English, this no-nonsense guide is filled with expert guidance that business owners, managers at all levels, investors, and students can use when determining the value of a business. It contains a solid framework for valuation, including advice on analyzing historical performance, evaluating assets and income value, understanding a company's financial statements, estimating the cost of capital, business valuation models, and how to apply those models to different types of businesses.\u003c\/p\u003e \u003cp\u003e\u003ci\u003eBusiness Valuation For Dummies\u003c\/i\u003e takes you step-by-step through the business valuation process, explaining the major methods in an easy-to-understand manner with real-world examples. Inside you'll discover:\u003c\/p\u003e \u003cul\u003e \u003cli\u003eThe value of business valuation, including when it's necessary\u003c\/li\u003e \u003cli\u003eThe fundamental methods and approaches to business valuation\u003c\/li\u003e \u003cli\u003eHow to read a valuation report and financial statements\u003c\/li\u003e \u003cli\u003eThe other players in the valuation process\u003c\/li\u003e \u003cli\u003eHow to decide you're ready to sell -- and the best time to do so\u003c\/li\u003e \u003cli\u003eThe three stages of due diligence: the meet and greet; the hunting and gathering; the once-over\u003c\/li\u003e \u003cli\u003eHow to decide you're ready to buy -- and find the right business for you\u003c\/li\u003e \u003cli\u003eWhat due diligence means on the buying side of things\u003c\/li\u003e \u003cli\u003eWhen to call in the experts: divorce; estate planning and gifting; attracting investors and lenders\u003c\/li\u003e \u003c\/ul\u003e \u003cp\u003eThis is an essential guide for anyone buying a business, selling a business, participating in a merger or acquisition, or evaluating for tax, loan, or credit purposes. Get your copy of \u003ci\u003eBusiness Valuation For Dummies\u003c\/i\u003e to get the information you need to successfully and accurately place a value on any business.\u003c\/p\u003e \u003cp\u003eIntroduction 1\u003c\/p\u003e \u003cp\u003eAbout This Book 1\u003c\/p\u003e \u003cp\u003eConventions Used in This Book   2\u003c\/p\u003e \u003cp\u003eWhat You’re Not to Read 3\u003c\/p\u003e \u003cp\u003eFoolish Assumptions   3\u003c\/p\u003e \u003cp\u003eHow This Book Is Organized 4\u003c\/p\u003e \u003cp\u003ePart I: What Business Valuation Means 4\u003c\/p\u003e \u003cp\u003ePart II: Getting Familiar with Valuation Tools, Principles, and Resources   4\u003c\/p\u003e \u003cp\u003ePart III: If You’re Selling a Business   4\u003c\/p\u003e \u003cp\u003ePart IV: If You’re Buying a Business 5\u003c\/p\u003e \u003cp\u003ePart V: Don’t Try This at Home! Turning Things Over to the Valuation Experts 5\u003c\/p\u003e \u003cp\u003ePart VI: The Part of Tens   5\u003c\/p\u003e \u003cp\u003eIcons Used in This Book   6\u003c\/p\u003e \u003cp\u003eWhere to Go from Here   6\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart I: What Business Valuation Means 7\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 1: The Value of Understanding Business Valuation   9\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eBasic Tenets and the Importance of Valuation for Businesspeople   10\u003c\/p\u003e \u003cp\u003eValue differs from price 10\u003c\/p\u003e \u003cp\u003ePlanning drives value 10\u003c\/p\u003e \u003cp\u003eNo two valuations are exactly alike   11\u003c\/p\u003e \u003cp\u003eValuation isn’t a one-time deal   12\u003c\/p\u003e \u003cp\u003eThe Basic Building Blocks for Calculating Value   12\u003c\/p\u003e \u003cp\u003eDiscount and capitalization rates: The numbers that really matter   13\u003c\/p\u003e \u003cp\u003eDoing your homework: Due diligence   13\u003c\/p\u003e \u003cp\u003eHow rule of thumb enters into business valuation   14\u003c\/p\u003e \u003cp\u003eGetting Expert Help   15\u003c\/p\u003e \u003cp\u003eThe Move toward Intangible Asset Valuation 16\u003c\/p\u003e \u003cp\u003eFamily Businesses: Important Valuation Targets 16\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 2: What Triggers a Business Valuation?     19\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eExploring Reasons for Wanting a Business 20\u003c\/p\u003e \u003cp\u003eIt’s time for a new career 20\u003c\/p\u003e \u003cp\u003eYou’re fulfilling a dream 21\u003c\/p\u003e \u003cp\u003eYou’re taking advantage of a strategic opportunity 22\u003c\/p\u003e \u003cp\u003eYou’re buying a business to pass on to your heirs   23\u003c\/p\u003e \u003cp\u003eShaking the Money Tree: How Lenders Make Thorough Valuation a Necessity 24\u003c\/p\u003e \u003cp\u003eBorrowing to buy a business: What lenders want to see   25\u003c\/p\u003e \u003cp\u003ePreparing for mergers and other big-money deals 26\u003c\/p\u003e \u003cp\u003eSeeking new or continued funding for an existing business 27\u003c\/p\u003e \u003cp\u003eAttracting public or private investors 27\u003c\/p\u003e \u003cp\u003eWhat If You Want — or Need — to Sell a Business?   28\u003c\/p\u003e \u003cp\u003eDoing some smart estate planning 28\u003c\/p\u003e \u003cp\u003eReaching retirement 29\u003c\/p\u003e \u003cp\u003eLetting the kids take over   29\u003c\/p\u003e \u003cp\u003eFacing threats from market forces 30\u003c\/p\u003e \u003cp\u003eSeparating from a co-founder or partner 30\u003c\/p\u003e \u003cp\u003eDealing with divorce 32\u003c\/p\u003e \u003cp\u003eExit Plans: Writing the Ending 32\u003c\/p\u003e \u003cp\u003eWho benefits from an exit plan? 33\u003c\/p\u003e \u003cp\u003eWhen should an exit valuation be done? 33\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 3: Understanding the Tangibles and Intangibles of Business Valuation   35\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eExamining Your Reasons for Valuing This Business   36\u003c\/p\u003e \u003cp\u003eIntroducing Standards of Value   37\u003c\/p\u003e \u003cp\u003eThe mother of all standards: Fair market value   38\u003c\/p\u003e \u003cp\u003ePerceptions of investment value   38\u003c\/p\u003e \u003cp\u003eThe fundamentals of intrinsic value 39\u003c\/p\u003e \u003cp\u003eGoing over going-concern value 39\u003c\/p\u003e \u003cp\u003eLiquidation value   40\u003c\/p\u003e \u003cp\u003eAdjusting or Normalizing a Financial Statement   41\u003c\/p\u003e \u003cp\u003eOther Considerations: Science Meets Art 42\u003c\/p\u003e \u003cp\u003eAdding business and economic news   42\u003c\/p\u003e \u003cp\u003eFolding in tangible assets   43\u003c\/p\u003e \u003cp\u003eDrawing valuation conclusions with intangible assets   43\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 4: Approaches and Methods — Basic Theories of the Valuation Process   45\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eA Step-by-Step Overview of the Valuation Process   47\u003c\/p\u003e \u003cp\u003eRisky Business: Gauging Circumstances for the Best Results   49\u003c\/p\u003e \u003cp\u003eUnderstanding the different approaches 50\u003c\/p\u003e \u003cp\u003eCalculating risk and its relationship to present value 55\u003c\/p\u003e \u003cp\u003eUsing discount and capitalization rates and income valuation methods   56\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 5: The Challenge of Valuation in a Knowledge Economy   61\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eMoving from a Hard-Asset to an Intangible-Asset Economy 61\u003c\/p\u003e \u003cp\u003eReviewing types of assets   62\u003c\/p\u003e \u003cp\u003eRecognizing the increasing value of intellectual property   63\u003c\/p\u003e \u003cp\u003eDetermining the Value of a Company Based on Ideas 64\u003c\/p\u003e \u003cp\u003eThe importance of real, documented income 64\u003c\/p\u003e \u003cp\u003eWhat strategic buyers and lenders want to see 66\u003c\/p\u003e \u003cp\u003eReaching Intangible Value 67\u003c\/p\u003e \u003cp\u003eTaking a stab at brand valuation   67\u003c\/p\u003e \u003cp\u003eRecognizing customers as valuation drivers   69\u003c\/p\u003e \u003cp\u003ePreserving Your Knowledge Business for the Future   70\u003c\/p\u003e \u003cp\u003eShaky times: When the founder’s brain leaves the building 70\u003c\/p\u003e \u003cp\u003eWhat owners need to do: Planning ahead 71\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart II: Getting Familiar with Valuation Tools, Principles, and Resources 73\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 6: Getting Familiar with a Typical Valuation Report   75\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eWhat a Valuation Report Is Supposed to Do 76\u003c\/p\u003e \u003cp\u003eOutlining a Typical Valuation Report   76\u003c\/p\u003e \u003cp\u003eCover   77\u003c\/p\u003e \u003cp\u003eValuation summary 77\u003c\/p\u003e \u003cp\u003eValuation assignment 80\u003c\/p\u003e \u003cp\u003eEconomic outlook 81\u003c\/p\u003e \u003cp\u003eIndustry outlook   82\u003c\/p\u003e \u003cp\u003eBusiness overview   83\u003c\/p\u003e \u003cp\u003eConclusion of value   85\u003c\/p\u003e \u003cp\u003eAppendixes   86\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 7: Meeting the Supporting Players in the Valuation Process   87\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eGetting Help in Valuing Your Business   87\u003c\/p\u003e \u003cp\u003eRecognizing situations that call for valuation experts 89\u003c\/p\u003e \u003cp\u003eFinding the experts you need   90\u003c\/p\u003e \u003cp\u003eSeeking the qualities your experts should have 91\u003c\/p\u003e \u003cp\u003eAppraising What Appraisers Do 92\u003c\/p\u003e \u003cp\u003eHow appraisers are trained and certified   93\u003c\/p\u003e \u003cp\u003eWhat appraisers cost 95\u003c\/p\u003e \u003cp\u003eHow to examine a business appraiser’s work process   96\u003c\/p\u003e \u003cp\u003eWhat to ask a prospective business appraiser 97\u003c\/p\u003e \u003cp\u003eTaking Account of Accountants   98\u003c\/p\u003e \u003cp\u003eHow accountants are trained   99\u003c\/p\u003e \u003cp\u003eHow accountants are certified   100\u003c\/p\u003e \u003cp\u003eWhat accountants cost   101\u003c\/p\u003e \u003cp\u003eHow to examine an accountant’s work process 102\u003c\/p\u003e \u003cp\u003eWhat to ask a prospective accountant   102\u003c\/p\u003e \u003cp\u003eHiring Advocacy: Attorneys   103\u003c\/p\u003e \u003cp\u003eHow attorneys are trained and certified   104\u003c\/p\u003e \u003cp\u003eWhat attorneys cost 105\u003c\/p\u003e \u003cp\u003eHow to examine an attorney’s work process   105\u003c\/p\u003e \u003cp\u003eWhat to ask a prospective attorney 105\u003c\/p\u003e \u003cp\u003eBrokers: One-Stop Valuation and Sale Services   106\u003c\/p\u003e \u003cp\u003eHow business brokers are trained and certified 107\u003c\/p\u003e \u003cp\u003eWhat business brokers cost   108\u003c\/p\u003e \u003cp\u003eHow to examine a broker’s work process 108\u003c\/p\u003e \u003cp\u003eWhat to ask a prospective business broker   108\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 8: Understanding Financial Statements   111\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eGathering the Financial Data You Need 112\u003c\/p\u003e \u003cp\u003eLooking into Support Data   112\u003c\/p\u003e \u003cp\u003eExternal data 112\u003c\/p\u003e \u003cp\u003eInternal data   113\u003c\/p\u003e \u003cp\u003eTaking a Look at Financial Statements   114\u003c\/p\u003e \u003cp\u003eThe balance sheet 114\u003c\/p\u003e \u003cp\u003eThe income statement   118\u003c\/p\u003e \u003cp\u003eStatement of retained earnings 122\u003c\/p\u003e \u003cp\u003eCash-flow statement 123\u003c\/p\u003e \u003cp\u003eRatios and formulas for valuation   126\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 9: Using Rule-of-Thumb Valuations for Mom-and-Pop Businesses   131\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eWhat Rules of Thumb Do in Business Valuation   132\u003c\/p\u003e \u003cp\u003e2008 Rules of Thumb from the Business Reference Guide   133\u003c\/p\u003e \u003cp\u003eFull-service restaurants   133\u003c\/p\u003e \u003cp\u003eBars 135\u003c\/p\u003e \u003cp\u003eGift shops 137\u003c\/p\u003e \u003cp\u003eMedical practices   138\u003c\/p\u003e \u003cp\u003eAuto repair shops 140\u003c\/p\u003e \u003cp\u003eDay-care centers for children   142\u003c\/p\u003e \u003cp\u003eDry cleaning 144\u003c\/p\u003e \u003cp\u003eCoin laundries 146\u003c\/p\u003e \u003cp\u003eBookstores 149\u003c\/p\u003e \u003cp\u003eBed-and-breakfasts 149\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart III: If You’re Selling a Business 153\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 10: Making Sure You’re Ready to Sell     155\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eUnderstanding Why Timing Is Important   156\u003c\/p\u003e \u003cp\u003eExamining the Motivations behind a Potential Business Sale   156\u003c\/p\u003e \u003cp\u003eAnticipating the owner’s retirement   158\u003c\/p\u003e \u003cp\u003eThe kids are taking over!   158\u003c\/p\u003e \u003cp\u003eWeighing the possibility of a merger or acquisition from a friendly suitor 159\u003c\/p\u003e \u003cp\u003eChanging market conditions are threatening a company’s future 159\u003c\/p\u003e \u003cp\u003eBringing Valuation into the Picture before You Bring In the Buyers 159\u003c\/p\u003e \u003cp\u003eProviding a reality check 160\u003c\/p\u003e \u003cp\u003eTransparency: Preparing for a sale   161\u003c\/p\u003e \u003cp\u003eHeading off problems to increase value   162\u003c\/p\u003e \u003cp\u003eDetermining the Kind of Transaction You Want   165\u003c\/p\u003e \u003cp\u003eOutright sale   166\u003c\/p\u003e \u003cp\u003eEmployee stock ownership plan (ESOP) 166\u003c\/p\u003e \u003cp\u003eOwnership transfer to key family members   166\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 11: Deciding What to Do about the Family Company   167\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003ePlanning for the Worst Possible Scenario 168\u003c\/p\u003e \u003cp\u003eExamining the State of the Family Business   169\u003c\/p\u003e \u003cp\u003eSpecific characteristics of family companies   169\u003c\/p\u003e \u003cp\u003eHow families hurt the value of their businesses 170\u003c\/p\u003e \u003cp\u003eWhy “equal” in a family business isn’t always fair 174\u003c\/p\u003e \u003cp\u003eGetting Your Family Down to Business 175\u003c\/p\u003e \u003cp\u003eFollowing a phased-in approach 176\u003c\/p\u003e \u003cp\u003eAddressing the fairness question head-on   178\u003c\/p\u003e \u003cp\u003eSetting up the best plan for the generations 178\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 12: Due Diligence on the Sell Side   181\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eLooking at Why a Seller Has to Do Due Diligence   181\u003c\/p\u003e \u003cp\u003eUnderstanding the Three Stages of Due Diligence 183\u003c\/p\u003e \u003cp\u003eTricks of the Trade: Collecting and Exchanging Information 184\u003c\/p\u003e \u003cp\u003eGathering your own company data   184\u003c\/p\u003e \u003cp\u003eProtecting your company with a confidentiality agreement 187\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 13: Case Study: Valuation on the Sell Side     189\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eHeading Off Common Valuation Disasters   190\u003c\/p\u003e \u003cp\u003eWriting down your wishes 190\u003c\/p\u003e \u003cp\u003eMaking sure that your records are adequate   191\u003c\/p\u003e \u003cp\u003eTaking time to plan 192\u003c\/p\u003e \u003cp\u003eConsidering confidentiality 192\u003c\/p\u003e \u003cp\u003eSetting Up Your Prevaluation Plan 192\u003c\/p\u003e \u003cp\u003eFinding the problems 193\u003c\/p\u003e \u003cp\u003eAnalyzing the prevaluation   195\u003c\/p\u003e \u003cp\u003ePerforming the Valuation   196\u003c\/p\u003e \u003cp\u003eTaking valuation from fantasy to reality   196\u003c\/p\u003e \u003cp\u003eChecking the structure of the deal 200\u003c\/p\u003e \u003cp\u003eLooking at an example of a deal in progress 201\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart IV: If You’re Buying a Business 203\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 14: How Do You Know Whether You’re Ready to Buy?   205\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eKnowing What Typically Drives a Business Purchase 205\u003c\/p\u003e \u003cp\u003eGetting Ready to Buy 206\u003c\/p\u003e \u003cp\u003eTackling challenges unique to buyers   207\u003c\/p\u003e \u003cp\u003eLooking at whether the business is right for you 208\u003c\/p\u003e \u003cp\u003eEvaluating a failing business 209\u003c\/p\u003e \u003cp\u003eUnderstanding how the mating process (typically) works 211\u003c\/p\u003e \u003cp\u003eRestarting the Value Process   213\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 15: Moving from Valuation to Negotiation   215\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eKnowing What Valuation Does for the Dealmaking Process 216\u003c\/p\u003e \u003cp\u003eIdentifying potential pitfalls and opportunities   216\u003c\/p\u003e \u003cp\u003eTiming the purchase well   216\u003c\/p\u003e \u003cp\u003eMinimizing emotional shocks   217\u003c\/p\u003e \u003cp\u003eGetting Ready to Meet the Seller   217\u003c\/p\u003e \u003cp\u003eRecognizing window dressing 218\u003c\/p\u003e \u003cp\u003eRemembering motives 218\u003c\/p\u003e \u003cp\u003eKnowing what sellers want   219\u003c\/p\u003e \u003cp\u003eLet’s Make a Deal: Negotiating   219\u003c\/p\u003e \u003cp\u003eDeciding whether to handle negotiations yourself   219\u003c\/p\u003e \u003cp\u003eGetting ready to negotiate 220\u003c\/p\u003e \u003cp\u003eUnderstanding what you should do in negotiation   222\u003c\/p\u003e \u003cp\u003eWorking with someone who’s negotiating for you 223\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 16: Due Diligence on the Buy Side     225\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eSeeing What Due Diligence Means in Practice   225\u003c\/p\u003e \u003cp\u003eLooking at the Unoffi cial First Stages of Due Diligence 226\u003c\/p\u003e \u003cp\u003eResearching the company 227\u003c\/p\u003e \u003cp\u003eConsulting your family and the pros   228\u003c\/p\u003e \u003cp\u003eThe Informational Game Plan: Cracking the Books (and the Internet)   229\u003c\/p\u003e \u003cp\u003eGathering the Company’s Data 231\u003c\/p\u003e \u003cp\u003eKnowing which questions to ask about the target company   232\u003c\/p\u003e \u003cp\u003eChecking with the company’s departments   233\u003c\/p\u003e \u003cp\u003eCollecting Outside Data about Your Industry and the Economy 235\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 17: Forensic Accounting and the Due Diligence Process     239\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eUnderstanding Forensic Accountants 239\u003c\/p\u003e \u003cp\u003eCharacterizing a qualifi ed forensic accountant   240\u003c\/p\u003e \u003cp\u003eRecognizing situations that link forensic accounting and valuation 243\u003c\/p\u003e \u003cp\u003eComparing Basic and Forensic Accounting   246\u003c\/p\u003e \u003cp\u003eRecognizing Business Situations That Trigger Forensic Accounting   247\u003c\/p\u003e \u003cp\u003eDoing a Forensic Accounting Test   248\u003c\/p\u003e \u003cp\u003eLooking at Forensic Accounting Case Studies   249\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 18: Case Study: Valuation on the Buy Side     251\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eBeing Frank: Selecting an Industry 251\u003c\/p\u003e \u003cp\u003eDoing Research in Advance 252\u003c\/p\u003e \u003cp\u003eContacting the Target   253\u003c\/p\u003e \u003cp\u003eNegotiating the quick-and-dirty valuation stage 253\u003c\/p\u003e \u003cp\u003eKnowing when to talk and when to hang up 254\u003c\/p\u003e \u003cp\u003eMoving on to Company Number Two   254\u003c\/p\u003e \u003cp\u003eSeeing How Failing to Consult an Advisor Can Cost You   255\u003c\/p\u003e \u003cp\u003eKnowing when to involve advisors 255\u003c\/p\u003e \u003cp\u003eEncountering problems   256\u003c\/p\u003e \u003cp\u003eSeeing what could’ve been done 258\u003c\/p\u003e \u003cp\u003eChecking Benchmarking Data 258\u003c\/p\u003e \u003cp\u003eUnderstanding Deal Structure   259\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart V: Don’t Try This at Home! Turning Things Over to the Valuation Experts 261\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 19: Divorce   263\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eDoing Estate Planning Regardless of Marital Status   263\u003c\/p\u003e \u003cp\u003ePlanning Prenuptial and Postnuptial Agreements 264\u003c\/p\u003e \u003cp\u003eBreaking down a prenuptial agreement 265\u003c\/p\u003e \u003cp\u003eCreating a postnuptial agreement   267\u003c\/p\u003e \u003cp\u003eSeeking the Correct Professionals   267\u003c\/p\u003e \u003cp\u003eLooking at What Happens to a Family Business in Divorce   268\u003c\/p\u003e \u003cp\u003eState laws on splitting property   270\u003c\/p\u003e \u003cp\u003eThe marital balance of power 271\u003c\/p\u003e \u003cp\u003eDetermining the Business Value in a Divorce 272\u003c\/p\u003e \u003cp\u003eKeeping Valuation Dates in Mind 273\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 20: Estate Planning and Gifting     275\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eSuccession Planning: A Critical Part of Business Planning 276\u003c\/p\u003e \u003cp\u003eConsidering Family Matters   276\u003c\/p\u003e \u003cp\u003eAnticipating problems   276\u003c\/p\u003e \u003cp\u003eConsidering blended and nontraditional families   277\u003c\/p\u003e \u003cp\u003eCreating contingency plans for relatives who renege   278\u003c\/p\u003e \u003cp\u003eCreating a Succession Plan   279\u003c\/p\u003e \u003cp\u003eCreating an Estate Plan   280\u003c\/p\u003e \u003cp\u003eFinding the Experts You Need for Estate Planning   281\u003c\/p\u003e \u003cp\u003eFitting Buy\/Sell Agreements into Estate Planning and Valuation 282\u003c\/p\u003e \u003cp\u003eTaking Gifting into Consideration   283\u003c\/p\u003e \u003cp\u003eGifting strategies 283\u003c\/p\u003e \u003cp\u003eGifting techniques 284\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 21: Attracting Outside Investors to Your Startup     287\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eExploring Your Startup Resources 288\u003c\/p\u003e \u003cp\u003eSeeing How Valuation Professionals Work with Startups 290\u003c\/p\u003e \u003cp\u003eCreating the Starting Point: The Business Plan   291\u003c\/p\u003e \u003cp\u003eWorking with Investors   292\u003c\/p\u003e \u003cp\u003eAngel investors   293\u003c\/p\u003e \u003cp\u003eVenture capitalists   294\u003c\/p\u003e \u003cp\u003eIPO investors 295\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart VI: The Part of Tens 297\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 22: Ten Reasons to Consider a Prenup   299\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eIt Gets You to Talk Honestly about Money at the Start of a Marriage   300\u003c\/p\u003e \u003cp\u003eYour Life’s Work Shouldn’t Go down the Drain   300\u003c\/p\u003e \u003cp\u003eIf Both Spouses Have Sacrificed to Build the Business, They Need to Share   301\u003c\/p\u003e \u003cp\u003eThe Working Spouse Shouldn’t Lose the Business Entirely 302\u003c\/p\u003e \u003cp\u003eKids from Earlier Marriages Need Protection 302\u003c\/p\u003e \u003cp\u003eKids from Your Next Marriage Need Protection, Too   304\u003c\/p\u003e \u003cp\u003ePlanning for Worst-Case Scenarios Is a Good Habit 304\u003c\/p\u003e \u003cp\u003eYour Business and Personal Finances Really Are Connected   305\u003c\/p\u003e \u003cp\u003eFamily Legacies Need Protection 305\u003c\/p\u003e \u003cp\u003eWhen a Marriage Ends, a Prenup (Or Postnup) Can Save You Both Money 306\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 23: Ten Questions to Answer Before Considering a Partnership Agreement     307\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eWho Will Be in the Partnership? 308\u003c\/p\u003e \u003cp\u003eHow Much Capital Does Each Partner Have to Kick In at the Start?   308\u003c\/p\u003e \u003cp\u003eHow Will Decisions Be Made? 309\u003c\/p\u003e \u003cp\u003eDo You Have a Plan for Resolving Disputes?   309\u003c\/p\u003e \u003cp\u003eHow Will the Firm Admit New Partners? 310\u003c\/p\u003e \u003cp\u003eHow and When Will Profits — or Losses — Be Shared?   310\u003c\/p\u003e \u003cp\u003eWhat Happens If a Partner Leaves or Dies?   311\u003c\/p\u003e \u003cp\u003eHow Will the Partnership Be Sold or Dissolved?   311\u003c\/p\u003e \u003cp\u003eHow Will Legal Disputes inside and outside the Partnership Be Handled? 312\u003c\/p\u003e \u003cp\u003eWill Noncompete Issues Be Covered?   312\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 24: Ten Things to Consider Before Transforming Your Company Into an ESOP     313\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eResearch How ESOPs Are Created 314\u003c\/p\u003e \u003cp\u003eUnderstand Why ESOPs Are Attractive in Certain Situations 314\u003c\/p\u003e \u003cp\u003eKnow How the Tax Advantages Work   315\u003c\/p\u003e \u003cp\u003eExamine How Valuation Comes In   316\u003c\/p\u003e \u003cp\u003eGet a Handle on Your Launch Steps 316\u003c\/p\u003e \u003cp\u003ePrepare for Preparation Costs   317\u003c\/p\u003e \u003cp\u003eGet Ready to Train Next-Generation Leadership 317\u003c\/p\u003e \u003cp\u003ePlan Ongoing Training for Employees 318\u003c\/p\u003e \u003cp\u003eEstimate ESOP Costs after Launch 318\u003c\/p\u003e \u003cp\u003eRealize That ESOPs Can Fail   318\u003c\/p\u003e \u003cp\u003eGlossary 319\u003c\/p\u003e \u003cp\u003eIndex 327\u003c\/p\u003e \u003cp\u003e\u003cb\u003eLisa Holton \u003c\/b\u003eis a former business editor and reporter for the \u003ci\u003eChicago Sun-Times.\u003c\/i\u003e Today, she heads The Lisa Company, a writing, editing, and research firm. She’s a writer for corporations, colleges, and nonprofits nationwide, and has written more than 13 books.\u003c\/p\u003e \u003cp\u003e\u003cb\u003eJim Bates \u003c\/b\u003eis Vice President, Transaction Support, for the Christman Group, a middle-market investment banking firm based in Palatine, IL  \u003c\/p\u003e\u003cp\u003e\u003cb\u003eYour hands-on guide to calculating — and understanding — business value\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eWant to determine the value of a business, but not sure where to start? This plain-English guide gives you step-by-step directions for the major valuation methods, supporting them with real-world examples. You’ll work with easy-to-understand valuation models and apply them to different types of businesses to achieve the fairest, most affordable valuation solution. \u003c\/p\u003e\u003cul\u003e\n\u003cli\u003e\u003cb\u003e\u003ci\u003eBusiness valuation 101 — learn what it is, why it’s a challenge, and the approaches that experts take to uncover value (or the lack of it)\u003c\/i\u003e\u003c\/b\u003e\u003c\/li\u003e \u003cli\u003eGrasp key valuation tools — understand valuation reports, financial statements, and “rule of thumb” guidelines for specific businesses\u003c\/li\u003e \u003cli\u003eGet to the heart of it — analyze historical performance, evaluate assets and income value, and estimate cost of capital\u003c\/li\u003e \u003cli\u003eIf you’re selling a business — see how to conduct due diligence and increase your company’s value\u003c\/li\u003e \u003cli\u003eIf you’re buying a business — incorporate valuation into the necessary prep before negotiation\u003c\/li\u003e \u003cli\u003eSeek help from the experts — from divorce to estate planning to attracting outside investors, know when and why you should get outside valuation help\u003c\/li\u003e\n\u003c\/ul\u003e \u003cp\u003e\u003cb\u003eOpen the book and find:\u003c\/b\u003e \u003c\/p\u003e\u003cul\u003e\u003cb\u003e\u003cli\u003eReal-world advice on planning andexecuting valuation\u003c\/li\u003e \u003cli\u003eThe role of the supporting playersin the valuation process\u003c\/li\u003e \u003cli\u003eDetailed case studies on buyingand selling businesses\u003c\/li\u003e \u003cli\u003eHow forensic accounting fits intovaluation\u003c\/li\u003e \u003cli\u003eThe soft and hard skills needed forsuccessful valuation\u003c\/li\u003e \u003cli\u003eWhat to build into a partnershipagreement\u003c\/li\u003e \u003cli\u003eWhy you should pause beforetransforming your company intoan ESOP\u003c\/li\u003e\u003c\/b\u003e\u003c\/ul\u003e","brand":"For Dummies","offers":[{"title":"Default Title","offer_id":47988874445029,"sku":"NP9780470344019","price":24.99,"currency_code":"USD","in_stock":false}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/1842\/7735\/files\/9780470344019.jpg?v=1761781869","url":"https:\/\/k12savings.com\/es\/products\/business-valuation-for-dummies-isbn-9780470344019","provider":"K12savings","version":"1.0","type":"link"}