Manufacturing Business Valuations

In need of a business valuation of your manufacturing company?
Our valuation specialists have decades of experience working with manufacturing companies and business owners assisting them with complex analyses related to valuation and value creation.

The valuation approach refers to a broad methodology for estimating the value of a business or ownership interest through one or more valuation methods. When determining the market value of closely held companies, three fundamental approaches are commonly employed: the income approach, the market approach, and the asset approach.

The income approach is grounded in the concept of present value, assessing a business’s worth based on the future economic benefits expected to accrue to its owner. This method focuses on projecting the company’s income over time and discounting it to its present value.

The market approach is based on the principle of substitution, which suggests that an asset's economic value is influenced by the price of acquiring a comparable alternative. However, "comparable" does not mean identical; rather, it refers to an asset that is similarly desirable from an investor or ownership perspective.

The asset approach also relies on the principle of substitution, asserting that a knowledgeable buyer would not pay more for a business than the cost of creating an equivalent enterprise with the same functionality. This approach evaluates a company’s value by considering both its tangible and intangible assets, as well as its liabilities, using various valuation techniques.

Maybe a machinery and equipment appraisal for your manufacturing company?
We also have the experience and accreditations for valuing the tangible assets in a M&A transaction.

Why us? Not all valuation firms are the same. Experience and credentials matter. We encourage you to review these 7 questions before selecting your business valuation provider and then review our experience to see if we are the right fit for you and your situation.