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Define the question before collecting the numbers
Write down the decision, who will use the valuation and the timing. Are you discussing the whole business, a particular shareholding or selected assets? Those are different instructions. Ask the adviser to confirm the entity, valuation date, purpose and basis before work begins. A headline number without that context can be difficult to use in a negotiation.
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Build an evidence pack
Start with financial statements, current management accounts and a forecast that explains its assumptions. Add the ownership structure, material contracts and a summary of customers, suppliers and key people. Identify unusual income or costs separately, with supporting records. Keep original figures visible so an adviser can understand adjustments rather than inherit an unexplained revised profit.
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Make uncertainty visible
Note where the business depends on the owner, a major customer, a lease renewal or an untested growth plan. Separate an opportunity from a commitment already secured. Ask what further information could materially change the conclusion. The aim of preparation is a defensible discussion about value, not a particular result or a promise of the price a buyer will pay.
Use this in your business
Your valuation briefing checklist
- Decision: explain why the valuation is needed and who will rely on it.
- Scope: list entities, ownership interests, assets and liabilities involved.
- Evidence: reconcile recent trading information with annual accounts.
- Assumptions: label forecasts, unusual items and unresolved questions.
- Timing: identify any sale, funding or shareholder deadline.
Illustrative example
What this could look like
An owner is considering a manager buying into the business. The first conversation should establish the interest being purchased and the information both parties can access. A valuation of the entire operation does not, by itself, settle the terms of a minority share purchase or show how the manager will fund it.
Your next move
Bring the decision into focus.
Bring the decision, an ownership summary and the information you already have. Pivot Point's team describes business valuation and shareholder transactions among its areas of work. A first conversation can establish the question and appropriate scope.
Start a conversation Meet the advisory teamThis guide is general preparation information. Advice on legal, tax and financial consequences needs to reflect your circumstances.