3rd party formal valuations

Know what your company is worth before anyone makes you an offer

An accurate number is the starting point of every negotiation. A defensible one is what makes a buyer believe it.

Two ways in

A free range, or a formal valuation

The confidential snapshot costs nothing and takes a day. An accredited third-party valuation takes 10–14 business days and stands up in front of a lender, a court or the IRS.

Start with the free snapshot →

or call (855) 637-2776

5.0 from 43 Google reviews

Why a formal valuation

A figure is not an argument

A third-party valuation determines the true market value of your business — an appraisal of a specific asset on a specific date. Accuracy makes it useful. What makes it persuasive is the narrative behind it: how the conclusion was reached, and why a buyer should accept it.

To get your asking price, a prospective buyer has to believe the figure is close to airtight. That is what a formal valuation is for, and it is why an online calculator and a broker's opinion are not substitutes for one.

MDR & Associates' formal valuations meet the highest industry guidelines and are performed only by best-in-industry accredited appraisers.

What a formal valuation is used for

  • Business assessment value
  • Purchase price allocation
  • Buyouts
  • Dissenter's rights
  • Estate and gift taxes
  • Fairness opinions and fiduciaries
  • Litigation
  • Mergers and acquisitions
  • Bankruptcy and reorganization
  • Charitable contributions
  • Employee stock ownership plans (ESOP)
  • Equitable distribution
10–14
Business days from receiving the documents
3
Years of tax returns and statements needed
Free
Confidential valuation snapshot, before you commit

What we need

The documents behind an accurate analysis

Financial statements

Interim profit and loss statement, interim balance sheet, and the last three years of both.

Tax returns

Three complete years of federal income tax returns for the entity.

The operating picture

Equipment and asset list, lease agreements, customer concentration, and the owner benefits that need adding back.

Every document you send is covered by confidentiality from the moment it arrives.

What moves the number

The factors buyers price, up and down

Raises the valueWhy it does
Organized, up-to-date financialsA clean line from invoice to general ledger to financial statements to tax return. Owner perks need a provable paper trail, or a buyer discounts them to zero.
Sales that grow year over yearEven 5% a year tells a completely different story than a flat or falling line. Lenders and buyers both react to the direction, not just the level.
Key people who stayBuyers pay for continuity. Employees who know the operation, the products and the customers are part of what is being bought.
Recurring and contracted revenueRevenue a buyer can count on next year is worth more than the same revenue won again from scratch.
A business that runs without youThe single largest discount we see applied is owner dependence. Reducing it is the highest-return work available before a sale.
Lowers the valueWhy it does
Customer concentrationWhen one customer is a large share of revenue, a buyer prices the risk that the customer leaves with you.
Deferred maintenance and old equipmentCapital the buyer has to spend on day one comes off the price.
Financial records that do not reconcileAnything that cannot be tied back to a tax return is treated as if it does not exist.
Falling or erratic earningsA sale into a decline is read as a liquidation, and priced like one.
Leases, licenses and contracts that do not transferAnything that has to be renegotiated after closing is a reason to retrade the price.

Most of these can be changed in twelve to twenty-four months. That work is what pre-exit consulting is.

Request a valuation

Ask for the number, confidentially

Request a valuation

What brings you here?

Pick the closest — there is room to explain in a moment.

About the company

This is what lets an advisor come back with a real range instead of a call to ask. Every field here is optional.

Where do we send it?

An advisor replies the same business day. Nothing you send leaves this office.

Confidential. We never contact your employees, customers or competitors, and we do not share your details.

Thank you. Your request is with an advisor, and we reply the same business day.
Something went wrong. Please call (855) 637-2776 and we will take the details by phone.

Tell us the company and roughly what it turns over. We will explain which kind of valuation fits, what it costs and how long it takes.

5.0 from 43 Google reviews

Proof, on camera

The people this actually happened to

Owners and advisors on film, by name, saying what the process was like.

The MDR 3-Point Advantage — MDR & Associates 1:57

Mike Mairs

The MDR 3-Point Advantage

The three things that decide whether a company sells for what it is worth.

The Right Deal — MDR & Associates 2:45

Seller · Hughes Tank Company

The Right Deal

The owner of Hughes Tank Company on selling a Texas manufacturer, and what the process was actually like.

Presentation Matters — MDR & Associates 1:42

Client

Presentation Matters

On how the way a company is presented to buyers changed the outcome.

Start here

Find out what your company is worth — confidentially.

No cost, no obligation, and nothing leaves this office. Four fields, and an advisor comes back to you the same business day.

Call an advisor Free valuation snapshot