Valuation Services

  • General Business Appraisal

    If you are a business owner, understanding the current value of your business can help you know where you stand. If you want to buy or sell a business in the near-term a business appraisal/valuation can provide you with a proper framework and understanding of what to expect.

    If something like that still feels like its years down the road for you, understanding the key drivers of value for your business today will help you know how to effectively increase the value of your business over time and how to most effectively position yourself for any future transactions.

  • 409a Valuation

    The 409a valuation is required by the IRS via section 409a of the Internal Revenue Code for all companies who wish to issue deferred compensation and must be kept current by having the valuation refreshed every 12 months or after any material event at the company including new fundraising.

    If deferred compensation is not accurately issued at fair market value, employees could be subject to immediately paying taxes on all deferred compensation and required to pay a 20 percent federal income tax penalty.

    When your 409a valuation is properly completed by a third-party like Silicon Valuation Partners, the IRS provides “safe harbor” status to that valuation and presumes it to be valid unless they can demonstrate it to be “grossly unreasonable”.

  • Purchase Price Allocation / Intangible Asset Valuation

    After a business has been acquired, the transaction value or purchase price must be appropriately allocated to all the business’ assets (including intangible assets) and liabilities.

    ASC 805 requires acquirors to perform this assessment and allocation post transaction close and to include the calculated values on an updated balance sheet. To comply with this tax reporting requirement, businesses will usually seek the help of an independent valuation firm, such as Silicon Valuation Partners, in completing this analysis and allocation.

  • SBA Business / Equipment Appraisal

    SBA Standard Operating Procedures state, “If the amount being financed (including any 7(a), 504, seller, or other financings) minus the appraised value of the real estate and/or equipment is greater than $250,000 or if there is a close relationship between the buyer and seller (for example, transactions between family members or business partners), the lender must obtain an independent business appraisal from a qualified source.”

    Silicon Valuation Partners meets the necessary credential qualifications required by SBA SOP and can ensure delivery of an appraisal that is robust, accurate, and on time.

  • Portfolio Valuation

    Private equity funds, hedge funds, pension funds, and other institutional investors have a bucket of assets they have invested in which can be referred to as a portfolio. Under ASC 820, the value of the portfolio must be periodically reported to the investors. Many investment managers seek the help of an independent valuation firm, like Silicon Valuation Partners, to help determine the value of the portfolio and avoid any conflicts of interest when reporting these figures to their investors.

  • ESOP

    An employee stock ownership plan is an employee benefit plan that gives workers ownership interest in the company in the form of shares of stock. ESOPs are considered a corporate finance strategy that can align the interests of all employees in helping the business to succeed.

    ESOP-owned companies will often seek the help of independent valuation firms, such as Silicon Valuation Partners, to periodically update the value of the underlying stock of the business.

  • Gift & Estate Tax Valuation

    Transferring gifts/assets during the estate planning process requires appropriate valuations of those assets for tax purposes.

    High standards have been set by the IRS when it comes to Gift & Estate tax and completing an appropriately vigorous financial analysis and valuation is key to properly abiding by the tax code and avoiding any penalties for undervaluing assets.

    Silicon Valuation Partners can take this stress off your shoulders and provide you with the credibility that comes with hiring an independent valuation firm.

Transaction Services

  • M&A Advisory

    Having Silicon Valuation Partners in your corner while you are navigating the purchase or sale of a business and the associated negotiations can bring you confidence and peace of mind that no stone is left unturned and nothing is being left on the table.

    Mergers and Acquisitions can be a once in a blue moon occurrence for the life cycle of a business which makes it valuable to bring in someone who has the experience and perspective to ensure the best deal is being made.

  • Fairness Opinion

    A fairness opinion evaluates the details and facts of transaction, such as a merger, acquisition, carve-out, spin-off, buyback, etc., and provides an opinion as to whether or not the proposed stock price is fair to the selling or target company.

    It is supported by collected data, market expertise, and extensive financial analysis which can reduce the risk associated with major business transactions as it can provide insight as to whether the transaction was done on a fair basis and in good faith.

  • Capital Raise

    As the saying goes, Cash is king. When your buiness needs helps raising capital from investors, existing or new, Silicon Valuation Partners has the experience and expertise to help you raise the needed capital with the best terms possible while allowing you to maintain proper focus on your day to day operations.

    Whether it is debt, equity, or acquisition financing, we can be there to help you every step of the way.