This business, Absolute Computers, was once listed and sold by Lou and he is extremely thorough and helpful when it comes to business sales. After appraising, placing a value upon, selling hundreds of businesses, and working with thousands of businesses, he is a wealth of information (and hilarious stories).
Business Valuation in Raleigh NC
While he is based here in Raleigh, Lou goes nationwide wherever there is an airport.
A business appraisal is an analysis which determines the value of a business. A business valuation is what is used to determine how much a business could be sold for.
A Business Valuation is also an Appraisal, but not every Appraisal is a Business Valuation.
Reasons why people get appraisals and valuations:
- Sale of business
- Mergers & acquisitions
- Loans, SBA loans, and other lending requires it
Business Appraisal in Raleigh NC
There are other situations which may arise where business owners need a business appraisal. I asked Lou for a few of these scenarios where a Raleigh area business owner may need a business appraisal. He informed me that there are 3 main reasons:
- Transaction-Based (Buying or selling or financing a business)
- Tax-Based (The State, County, City, Federal issues or disputes)
- Litigation-Based (Divorce, Partnership Break up, Bankruptcies, a Buyer or Seller who did get an Appraisal BEFORE hand).
Who is qualified to give a Raleigh area business a valuation or appraisal?
All of us business owners get the cold calls, emails, and post cards asking us to sell our business. We also receive advice from everyone, including CPAs and attorneys. But who should be doing an appraisal, and who can tell us what a business is worth?
In my last interaction with Lou he was able to come up with a value for my business slightly higher than what I valued my company at myself. And he sold it at that price, too!
He offered this top ten list to me as criteria to help others select a business appraiser:
- Certification in the Appraisal Field
- Education (College, Advanced Training in the Field of Appraisal)
- Experience (Specifically as it applies to your situation or need).
- Professional Designations (The initials after his name on the business card or letter head)
- His Position in the Company doing the Appraisal (Is he a field employee, the president, etc.)
- Adherence to Ethical Codes (Does he bring up Code of Ethics and make it a part of the contract?)
- Fees Charged (How does he charge and justify his charges?)
- The Final Report (Ask to see a Report he has done as proof of his skill and to see how good it is).
- Personality (Is he likeable? You will be thrown together a lot.)
- Timeliness of delivery promise (You need it when???)
You can also read more about this on Lou’s certified appraisals page as well.