|FACTORS AFFECTING VALUATION|
|Return on Investment is Always My First and Last Consideration|
How Financials Can Be Deceiving:
Accounting for tax purposes is totally different than interpreting financial statements for Business Valuation Purposes. Let us give you just one example: (Think Partnership or Divorce)
For tax purposes R&D is an expense in the year the R&D occurred. For the purpose of an accurate valuation the R&D should be amortized over a period of 5 to 12 years. HUGE DIFFERENCE.
The financials must be normalized to reflect proper treatment of R&D. If we didn’t do this a company could spend 95% (or all) of the profit on R&D and might successfully claim the company to be worth very little for a short period of time. Perhaps not fraud but certainly manipulation, depending upon the purpose. (Divorce or other partnership)
VALUATIONS RANGE $1000 TO $5,000 AND SOMETIMES HIGHER (AVERAGE $3,500)
Call or email now!
Victoria - Vancouver - Edmonton - Calgary - Saskatoon - Regina - Winnipeg - Ottawa - Toronto
Assignments taken regularly from Business Owners in the US, Australia, and Asia
Expertise and Experience in Intangible Assets and Intellectual Property.