Estimate of Value (EOV)

Why Choose the Kelly Estimate of Value?

The Kelly Estimate of Value (EOV) is a personalized 2–4 week process based on experience and industry best practices. You work directly with a Certified Business Intermediary (CBI) who brings decades of experience in business sales and valuations.

The EOV Process – Step by Step

Kelly Business Advisors’ Estimate of Value (EOV) combines multiple layers of work to give you clarity, confidence, and next steps:

• Recasting Historical Financials
  • Normalize earnings by adjusting for owner perks, wages, rent, items that could have been capitalized, one-time expenses, and non-operational items.
  • Establish a clear picture of true cash flow (EBITDA), the primary driver of your valuation.
• Analyzing Value Drivers
  • Review factors like customer concentration, recurring revenue, management depth, and scalability.
  • Identify your company’s strengths and weaknesses.
• Industry Performance Comparison
  • Benchmark your company against peers using Vertical IQ, Business Reference Guide, and DealStats industry data.
  • Understand where you stand in your industry in terms of profitability, growth, and risk.
• Required Net Working Capital
  • Calculate the working capital that will transfer with the business.
  • Ensure clarity on how this impacts deal structure, adjusted purchase price, and expectations of the buyer and seller.
• Comparable Sales Analysis
  • Learn how your business is valued comparing it to recent sales using trusted sources like DealStats, the Business Reference Guide, and MarketPulse survey insights.
  • Use real transaction data to determine valuation ranges.
• Current Market Listings
  • Review active listings to understand competitive positioning.
  • Assess how your business stacks up in terms of pricing and features.
• Feedback from Industry Experts
  • Gain insights from other M&A advisors, private equity groups, and professionals.
  • Validate assumptions and strengthen your valuation approach.
• Buyer Type Analysis
  • Different buyer types value businesses differently. Kelly compares what strategic buyers, private equity buyers, financial buyers, and individual buyers might pay.
  • Understand how buyer motivation impacts valuation multiples.

Additional Insights You’ll Gain

• Test Drive the Relationship
  • Experience Kelly’s advisory approach before committing to a full engagement.
• Marketing Strategy Preview
  • Learn how Kelly would position your business confidentially to attract qualified buyers.
• Economic Impact Assessment
  • Understand how current economic conditions may influence timing and pricing.
• Timing Considerations
  • When does Kelly think you should sell?
• Value Improvement Recommendations
  • Receive actionable strategies to enhance value before going to market.
• Selling Process Clarification
  • Get a clear roadmap of steps from valuation to closing.

Ready to Learn What Your Business is Worth?

Contact Kelly Business Advisors today to start your Estimate of Value process and gain the insights you need to make informed decisions about your future.