What Types of Risk Affect the Value of a Business?
Company Specific Risk (CSR) is a specific risk rate that is applied to any one company and can greatly affect its value. CSR is a subjective adjustment made...
13 October, 2021
SBA Values Blog
Arm’s Length vs. Non-Arm’s Length Transactions: How Does This Affect the Value of Your Company?
In real estate, arm's length transactions refer to a business deal where parties involved have no previous relationship prior to negotiating an agreement. In this type of transaction,...
13 October, 2021
Calculating Cash Flow for a Business
In general, a small to mid-sized business is defined as a business that is privately owned and usually has up to 500 employees, depending on its industry. Calculating...
13 October, 2021
The Basics of Valuing a Small Business
Valuing a business can be difficult and complicated. It requires following a complex set of rules, knowledge of valuation techniques, factors driving value in the industry, laws and...
13 October, 2021
Faster Equipment Appraisals: 4 Tips for Expedited Appraisals
When you need an equipment appraisal, you want it completed as quickly and painlessly as possible, without compromising quality. Equipment appraisal timing depends on a number of factors...
07 April, 2021
Establishing the Remaining Useful Life of Machinery and Equipment: The Factors Considered
A common request we receive from our bank clients is to include the machinery & equipment remaining useful life (RUL) in the equipment appraisal. This request often comes...
12 January, 2021
The Rent Adjustment: A Top 5 EBITDA Adjustment in Business Valuations
We are often asked by our clients why we need to adjust the rent paid by a business in a business valuation; and more specifically why we request...
12 November, 2020
Equipment Liquidation Values: A Lender’s Perspective
How do you know what kind of value to expect for equipment or assets that are being liquidated? Depending on the circumstances surrounding the liquidation (and how fast...
22 October, 2020
Business Valuations during the “New Normal”: The Impact of COVID-19
Due to the precautions to limit and slow down the spread of the novel coronavirus 2019 (COVID-19), many small businesses have experienced some level of decline in their...
22 April, 2020
Policy Changes in the SBA SOP 50-10 5(J) that Impact Business Valuations and Equipment
The SBA has released an updated version of its Standard Operating Procedures (SOP) 50 10 5(J), which is effective January 1, 2018. The following discussion highlights key revisions...
17 October, 2017