Growth Partners | Realizing Existing Value
16225
page-template,page-template-full_width,page-template-full_width-php,page,page-id-16225,ajax_fade,page_not_loaded,,qode-title-hidden,qode-child-theme-ver-1.0.0,qode-theme-ver-9.1.3,wpb-js-composer js-comp-ver-4.11.2.1,vc_responsive
Overview

While there are a number of ways to optimize a liquidity event, the most important elements are selecting the best timing and form of the transaction. Owners usually make such decisions without the benefit of a dispassionate and customized analysis. This offering entails a clinical “business proof” that produces answers to the questions regarding the best timing, and best form of a liquidity event.

Imperatives

The key elements include:

  • Obtaining a transaction-compliant valuation to mark a company’s current value
  • Conducting a “creating value” analysis related to reasonably building new value
  • Selecting the best build opportunity and projecting a future earnings stream
  • Crafting the future value of the company based on new projections
  • Assessing the current, and risk-adjusted future value differential
Process

We begin by crafting a current valuation profile, and comparing this to the estimated future valuation based on extrapolating the best build opportunity. Once the differential is determined, decisions about timing and form are made. The secret is assigning the proper execution risk to the build opportunities as the risk factor is central to determining the best transaction form. The process takes two months.

Expectations

You can expect an agnostic analysis. The benefit is having a clinical data point about the timing and form decisions in lieu of emotional and/or anecdotal-based decision-making. The analysis may suggest some wealth diversification (minority interest event), or risk-sharing (majority interest event) might be better than a 100% outright sale.

Questions

If yes is an answer to any of these questions, please contact us:

  • Do you know the optimal time to pursue a liquidity event?
  • Do you know the optimal form of an event given all of the choices?
  • Would insight about maximizing transaction value be helpful?

Interested in Gaining Insight About Realizing Value?

Please open the following article:

“Optimizing a Liquidity Event: The Dimensions of Value Maximization”

pdf-icon

©2016 Growth Partners, Inc.| Privacy PolicyContact Us