Valuation is as much an art as a science, yet valuation is also a highly technical field. The ability to judge which valuation method is best suited to a company's needs and apply it to get an accurate picture of value requires experience and skill. Relying on a value determined by someone who doesn't have this expertise can lead to unpleasant surprises.

Sierra Consulting Group has specialists with substantial experience and professional designations in the area of business valuation, including the following: ASA, CBA, ABV, CVA.

Professional valuation services are needed for a variety of reasons, including the following:

• When buying or selling a business, a valuation can establish a reasonable estimate of what one may expect to pay or receive for a particular company.
• In estate planning, an objective valuation that adheres to IRS regulations can help gifts of business interests withstand IRS scrutiny.
• When seeking business financing, an independent valuation can provide objective evidence of the value of a business and its assets and can assist in obtaining financing from lenders and investors.
• Setting up a buy-sell agreement will contractually determine what happens to company stock after a triggering event and can help to avoid shareholder disputes and solve estate-planning problems.
• In marital dissolution, valuation helps to determine the distribution of assets between spouses, and well-founded valuations that will withstand legal challenges in a litigious setting are key.
• A fairness opinion may be needed to address whether a proposed transaction is fair to shareholders or a group of non-controlling shareholders from a financial point of view.
• In bankruptcy or reorganization, a valuation may be necessary to determine creditor settlements and the availability of assets for distribution.
• For strategic planning, a business valuation can give a good picture of a company's progress, strengths and weaknesses, and provide a foundation for planning that will help develop realistic strategic objectives.
• In litigation cases, a valuation may be needed in relation to economic loss, breach of contract, partner disputes, dissenters' rights and other situations.