Business/CRE Valuation

Understanding your business/CRE value

An important part of business ownership is understanding the value of your entity. There are numerous elements that come into play when analysing one’s commercial real estate and business value, each of which depend on complex characteristics such as property history and external market conditions.

With Magnusson Balfour, we make it easy to understand the value of your business and commercial real estate property. We have a team of seasoned professionals who work with you to create an in-depth valuation of your entity, which will give you an idea as to where your business stands within the local market.

We will also provide expert opinions on how to improve your business value, so as to ensure you have a clear guide for future growth.

“The wisest thing I did was seek out professional advice. I knew that Magnusson Balfour specialized in brokering businesses. They crunched the numbers and gave me a lot to think about and analyze. That due diligence has to be done correctly. The stones have to be turned over. They knew where the stones were. I didn’t. Working with Magnusson Balfour has given me the confidence to move forward and to turn away from things that may not have been beneficial for us.” —Name withheld for confidentiality

How do we value your business/CRE?

To give us a preliminary understanding of your property, we ask a series of initial questions to give us some basic information of your business. These questions focus on the following areas of your business:

• Gross sales
• Years in business
• Real estate: included or not included
• Square feet of space
• Value of the hard tangible assets
• Outstanding debt
• Location of business/CRE (town & state)
• Type of business (e.g., distribution, manufacturing, retail, food & beverage, etc.)
• Profit (as stated on tax return)
• Owners’ total compensation
• Depreciation & amortization
• Interest expense

This overview of basic information provides us a brief glimpse into your business, which we then use to conduct an in-depth analysis of the business within the market. Our business/CRE valuation experts will keep you in the loop throughout the entire process, so you are aware of what we are analysing and how we are finalizing valuation numbers.

Business and CRE valuations are complicated processes, but the experts of Magnusson Balfour will work on your behalf to make the process seamless and simple. Contact us today to start the valuation process.