VBusiness.co.za

How We Can Help You

V Business and Property Network assists in all phases of the transaction, linking initial analysis, planning, valuation, marketing, the qualification of prospective purchasers, negotiation, due diligence and ongoing interaction until the transaction is successfully closed.

Services Overview

Our services include, but are not limited to, the following:

Assist Seller in establishing a MPSP (Most Probable Selling Price) Value
Marketing the business
Screen potential Buyers for ability to complete a purchase
Develop a comprehensive business overview to present to potential Buyers
Help maintain confidentiality of the sale
Provide overall deal management to guide the Clients through the entire process

Valuating a Business

The two primary most widely used and accepted types of valuations are:

Asset valuations: consider the business to be a collection of assets that have a marketable value to a third party in an asset sale. Asset valuations are typically used for businesses that are ceasing operation and for specific types of businesses such as holding companies and investment companies. Asset valuation methods include the book value method, the adjusted book value method, the economic balance sheet method, and the liquidation method.

Income valuations: are based on the premise that the current value of a small business is a function of the future value that an investor can expect to receive from purchasing all or part of the business. Income valuations are the most widely used type of valuation. They are generally used for valuing small businesses that are expected to continue operating for the foreseeable future. Income valuation methods include the capitalization of earnings method, the discounted future income method, the discounted cash flow method, the economic income method, plus other formula methods.

Value vs Price

A business’ value does not always equal all its assets, but rather the profit and cashflow that those assets can generate. ~ Bryan Hayden

The value of a business, by whatever business valuation method it is obtained, is not the selling price of the business. The price is determined in the market by a Buyer and Seller coming to an agreement. They are not the same.
As Warren Buffett said, "Price is what you pay; value is what you get."

Paperwork Required

Most Buyers will require some of the following documentation:

Audited financials or management accounts covering three to five years.
Copies of income tax returns and assessments.
Property lease agreements, hire purchase agreements, and franchise agreements.
A complete list of plant and machinery, furniture and fittings, and equipment.
A list of stock (inventory) will also be required.

If a particular potential Buyer is serious, it would make sense to provide any information that will assist us in closing the deal and obtaining your price. NO information is disclosed to a Buyer unless he/she has signed our non-disclosure agreement.

Online Registration

Submit your business details online. A business broker will then get in touch with you to set up a meeting to discuss, in detail, your requirements.

Do you need something specific not listed on the site? Or do you want to request more information about a listed business or franchise? Register online.

 

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