Markets We Value

In a business advisor search, executives may ask about a company’s industry or expertise.  Implicit in this question is the assumption that those with deep expertise offer better critical thinking than generalists.  While it may seem counterintuitive, people with concentrated subject matter expertise may not be the best analysts.

Highly focused experts tend to rapidly formulate conclusions and spend the rest of the project looking for confirmation and advocating their viewpoints.  AVM philosophically considers itself to be a generalist.  As a generalist, analysts are more likely to provide common sense opinions and recommendations – which are more apt to be accurate and implemented.  Generalists have to rediscover elements of the problem, thereby avoiding a particular arrogance which can cause silly mistakes.  As Abraham Maslow said, “If you only have a hammer, you tend to see every problem as a nail.”

Experience and tool set are also important to getting a good result.   Simply putting a handful of numbers that you don’t understand into a software program doesn’t necessarily get you where you want to go.  AVM employs financial analysts with real world business experience because proven business executives have the framework to best analyze enterprise value.  Each AVM analyst has worked in industry with P&L responsibility, venture capital or mergers & acquisition experience.   Our analyst experience includes:

Stage

  • Start-ups
  • Emerging Growth Companies
  • Small Business
  • Going Concerns up to $100 million

Industry Type

  • Distribution
  • General Contracting
  • Internet
  • Joint Venture (China)
  • Manufacturing
  • Service Franchise
  • Software
  • Professional Services
  • Rental

Industry

  • Aerospace
  • Beverage, Wine
  • Capital Goods
  • Computer Networking
  • Electro-Mechanical Devices
  • Engineering
  • Event Services
  • Financial Services
  • Food
  • Internet Security
  • Law
  • Marketing Communications
  • Military
  • Pharmaceutical
  • Scientific Research
  • Vitamin
Intuition becomes increasingly valuable in the new information society precisely because there is so much data.
John Naisbitt

Articles

By avm February 5, 2016 In
Proposed IRS regulations to eliminate discounts for family limited partnerships (FLPs) are to be released comment, but never seem to arrive.  The Obama Administration proposed changing the law over several annual budget proposals in order to restrict or eliminate valuation discounts on transfers of interests in family-controlled entities. The Administration was not successful in having the...
By avm February 5, 2016 In
Since mid-2012, a steady increase in median revenue from $350,000 to $450,000, led to higher small business sale prices. Overall, this year's small business transaction data is following the trend of the past few years: steady activity along with improving financials. Although total transactions are on pace to fall three percent from peak 2014 levels,...
By avm February 5, 2016 In
INTRODUCTION The valuation process typically does not assess the underlying company accounting policy and procedures. However, it is important for stakeholders to be aware of accounting conventions, and to vet them in any due diligence effort. The following is a discussion of different accounting policies and what risks they might introduce. Accounting guidelines allow companies...
By avm February 5, 2016 In
BUSINESS GOODWILL IN CALIFORNIA FAMILY LAW Three issues must be addressed in valuing business interests for the purposes of property settlements in family law. They are: Personal vs. Institutional Goodwill (Personal and Professional Goodwill are similar in nature – personal applies to all types of companies and professional applies to professional practices (i.e. medical practice,...
By avm February 5, 2016 In
Once a simple concept – reward employees for participating in the growth of a company’s value via stock options – incentive compensation has now become a very complicated area of tax regulation and accounting. At least since the creation of “qualifying stock options” in 1981, the IRS has required that options be priced at or...