You need to have these six documents for a business valuation.

Today we’ll talk about what documents we need to value a business. Often, we start with what we call a discovery call, where we just get to know each other. Right after the call, we always recommend to our clients, “Hey, let’s value your business. Let’s analyze the business and see where we go.” There are two things that come out of it: Your business is ready, and we can go to sale, or your business is not ready yet, and we have some work to do. That’s okay because then we come up with a game plan.

We often are asked what documents we need to value a business. Often, we start with what we call a discovery call, where we just get to know each other. There are two things that come out of that call: Your business is ready, and we can go to sale, or your business is not ready yet, and we have some work to do. We are often asked:

“How do I prepare my business and the documents I need to get the valuation?”

We always request six documents.

• Three years of tax returns.
• Three years of financial statements. These include your profit and loss statement and your balance sheet, in both cash and accrual.
• We also ask for accounts receivable reports and accounts payable reports.
• Next is work-in-progress reports.
• Then the last document that we will request is an org chart.
  
  

So those are the six documents that you would need for us to value your company. Every buyer will ask you for the same documents as you get to the due diligence process.

If you are interested in finding out the value of your business, please click here to schedule a no obligation, confidential call.