Building Company Value

Value Bridge Advisory was established to help private business owners build and maximise the value of their company in preparation for a sale or equity release event.

Over 80% of companies which embark on a sale process fail to sell. Value Bridge Advisory works with privately owned companies to ensure they maximise both the value of the business at exit but also the chances of securing a successful sale.

What We Do

We work in partnership with management teams to develop and implement programmes designed to maximise company value and prepare businesses for a successful sale process.

We are not a business broker but we will work with you to select the right corporate finance advisor at the right time when shareholders are ready – and properly prepared – to proceed with a sale process.

4 Key Value Building Blocks

Most companies are valued primarily on the basis of EBITDA x Earnings multiple. The key drivers of a company’s value and its sale-ability are therefore the drivers of these two factors. Improving EBITDA is critical but it is also vital to focus on the earnings multiple which can be materially impacted by the attractiveness of your company to potential buyers and by the sustainability of your business – ie its ability to continue to develop and grow. Preparing your company properly for sale will also help drive the earnings multiple but will also maximise your chances of a successful sale.

Build Business Profitability

We work with company management to help them drive financial performance with the emphasis on EBITDA and Cash generation – which are fundamental to maximising company valuations. We focus on opportunities to improve revenue and margin, operational efficiency and working capital management.

Build Business Attractiveness

We help companies develop a credible, deliverable business plan which is attractive to potential buyers. Ensuring the company is strongly positioned in attractive markets and has a good reputation in those markets is very important. Demonstrating the future growth potential of the company for a future owner is absolutely critical.

Build Business Sustainability

We work with companies to identify and implement plans to develop more predictable revenue streams which help drive up the earnings multiple. Building a scaleable business which can support future growth is important. For many buyers the most critical consideration will be management – does the business have a management continuity/succession plan?

Preparation
for Sale

To ensure a smooth sale process, management will need to ensure that they have high quality financial and non-financial information on the company. All documentation, contracts, legal issues and IP protection should be in good housekeeping order. It is also critical to ensure that the company structure, shareholdings and any financing is in good order.