To The Point: A MarshBerry Video Series

The Real Value in Valuation Understanding the Drivers Behind the Equation

If you’re a business owner, you’re probably well aware that understanding the value of your business is critical to making informed decisions—whether it’s planning for growth, optimizing your strategy, or preparing for a transaction.

Watch to explore how business valuations are more than plugging numbers into a formula. Interested in learning more? Contact us today to start the conversation.

Video Transcription

Hi, James Graham, a director with MarshBerry out of our California office specializing in mergers and acquisitions.

If you’re a business owner, you should be aware that understanding the value of your business is critical to making informed decisions whether it’s planning for growth, optimizing your strategy, or preparing for a transaction. However, business valuation is more than just plugging numbers into a formula. It is easy to talk about cap rates, EBITDA (earnings before interest, taxes, depreciation, and amortization) multiples and other usual financial metrics, and while these are useful, they’re just a starting point. The fundamental insight lies in understanding the variables behind the key inputs such as expected cash flow, organic and inorganic growth, and risk, and how they’re unique to your business. At MarshBerry, we believe that a proper valuation isn’t just a calculation or a result, it’s a strategic tool. Moreover, optimizing the business’s value drivers and positioning makes all the difference. In doing so, we help our clients unlock their business’s value and position them for success whether they’re navigating current growth strategies, raising debt or equity capital, or securing favorable terms in a transaction.

If this topic resonates with you, contact me for more information. I’m eager to hear about your business and determine how MarshBerry could partner with you in the pursuit of your goals.

MarshBerry is a global leader in investment banking and consulting services, specializing in the insurance brokerage and wealth management sectors. If your firm seeks expert advisory guidance to refine your business strategies, drive sustainable growth, or facilitate a sale, MarshBerry is the ideal partner to support you in making these critical business decisions. Collaborating with a trusted advisor who deeply understands your business and the industry can help you maximize value at every stage of ownership.