Whether you are part of a group and want to know your buyout shareholder value, or you are considering entering into a shareholder buyout agreement or selling a business, an essential first step is to obtain a business appraisal to find out how much it is worth. These are among the many reasons why small or large groups of business owners or interested parties consider utilizing business buyout valuation services.

If you are trying to buy or sell a business or practice, are involved in estate planning or probate, applying for a business line of credit or are considering selling stock holdings, then getting a buyout appraisal of company value is a must. Be sure to consider the three options below when shopping for shareholder buyout business valuation services or entering into a shareholder buyout agreement:

1. Hire a firm with buyout company value appraisal experience to conduct a business valuation.

2. Purchase business valuation software and conduct the business valuation in-house.

3. Hire an accountant with shareholder buyout accounting experience to perform a valuation of your business.

Action Steps
The best contacts and resources to help you get it done

Obtain a buyout company value appraisal from a company with expertise

Depending on why it's needed, business valuations can vary in scope. Smaller scope valuations are ideal for obtaining a rough estimate of a company's value, while larger ones are better suited for obtaining credit lines or a buyout shareholder value. Full scope, comprehensive valuations are used for estate planning or are requested when someone is seriously interested in buying a business.

I recommend: Nationwide Valuations offers a wide range of business valuation services and can appraise the value of machinery or equipment when applicable. Marshall & Stevens specializes in industry-specific business valuations.

Purchase shareholder buyout business valuation software

If you prefer that a business valuation be performed in-house, or just want to save some money to get the calculations you need about a company, then valuation software is a great option.

I recommend: Orion Systems business valuation software is designed to provide an approximate value for small- to medium-size businesses. Haleo's line of ValuAdder business valuation product software allows you to determine corporate buyout valuations as well as a shareholder buyout valuation and partnership buyout valuation.

Hire an accountant with buyout company value appraisal experience to look over the financials

If you conducted your business valuation in-house and want to verify the numbers, or perhaps you want a second set of eyes to confirm the business valuation shareholder buyout figures that are being presented, consider an accountant. Accountants with valuation experience are ideally suited to offer counsel and provide an expert review of business valuations.

I recommend: The American Institute of Certified Public Accountants (AICPA) offers a search engine for locating accountants that have business valuation accreditations (ABV). If you live on the West Coast, Ron J. Anfuso is an accountant with expertise in a variety of areas including business valuation.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  If you are considering getting a buyout company value appraisal it is critical to plan ahead. Depending on the company's size and complexity of its assets, a comprehensive valuation can take up to a month to complete.