Clean Up Financial Statements before Searching for a Buyer

By Jay Sickler The first step in selling any business is putting its financial house in order. After years of hard work, small business owners often want to cash out. While it’s inevitably an emotional decision, several easy steps can make the process go much smoother. First, put our house in order. A business isn’t…

Strategic Value – Cannabis Businesses

By: Eli Neal Business Valuation – The Marijuana Chronicles #7 To catch up on past blog posts, check out the links at the end of this article. So far, this blog series has focused on the premise of fair market value, which is defined as a hypothetical transaction between a willing and able buyer and…

The Tax Act has a Significant Impact on 2018 Business Valuations

By Jay Sickler I’m sure you’ve read a lot about the Tax Act’s impact on corporate and personal income taxes, but the 2017 Tax Cuts and Jobs Act is also throwing the business valuation profession into a bit of a frenzy. Since 1993, business valuation practitioners have been able to utilize a consistent corporate income…

Consider an equal-pay analysis under the Oregon Equal Pay Law!

By: Taylor Cothran Introduction to the Oregon Equal Pay Law (House Bill 2005) The Oregon Equal Pay Law (House Bill 2005) will go into effect on January 1, 2019 to defend protected classes (gender, sexual orientation, etc.) from pay discrimination. Employee wage claims will inevitably arise as a result of the new law. A formal…

Buy-Sell – Don’t Let Your Attorney Write the Valuation Provisions

By: Jay Sickler   You wouldn’t let your oral surgeon replace a torn ACL in your knee.  Likewise, you shouldn’t let your corporate attorney draft the language governing the company’s share value in your buy-sell agreement. In my opinion, most shareholder disputes regarding share valuation could have been avoided had the buy-sell valuation language been…

Exit Planning – Who is following in your client’s footsteps?

By: Eli Neal Baby boomer business owners are getting ready to retire. Exit planning is a crucial step for a successful transition. Cogence Group has helped Portland and Oregon business owners structure transactions so that they can reach retirement.  We’ve seen that many business owners want to transfer their business to a younger, current member…

Income Approach (Forecast Inputs) – Marijuana Business

By: Eli Neal You can find blog posts #1 – 5 using this link. Business Valuation – The Marijuana Chronicles #6 As discussed in our previous blog post, the Discounted Cash Flow Method (“DCF Method”) relies on a management forecast for future periods. It’s important for valuation analysts to review & scrutinize management’s forecast to…

It’s Official!

Cogence Group’s two associates, Eli Neal and Taylor Cothran, are now both Accredited in Business Valuation (ABV). This credential is in addition to the CPA designation already held by our two superstars. Congratulations, Taylor and Eli!

Income Approach (Discount Rates) – Marijuana Business

By: Eli Neal Catch up on blog posts #1 – 4 using these links: 1. An Introduction to the Oregon Marijuana Industry 2. How to Perform a Business Valuation of a Marijuana Business 3. Adjusted Net Asset Approach for Marijuana Businesses 4. Market Approach – Marijuana Business Business Valuation – The Marijuana Chronicles #5 This…

Understanding the Concept of Standard of Value

By: Jay Sickler We business appraisers value all kinds of businesses for all kinds of purposes. In Portland, Oregon it is almost impossible to focus your practice on one industry or type of business. What business owners, CPAs, and attorneys often don’t realize is that any good business appraiser needs to first understand and explain…