This FAQ is divided into two sections:

  1. The EZvaluation and EzValuationPro Software
  2. Private Labeled Service

The EzValuationPro Software

What business valuation methods does EzValuationPro use?

EzValuationPro relies on the excess earnings method of business valuation. This is a very good method for estimating the value of a business that is earning money. It takes into account both financial and non-financial characteristics about the company being valued.

How much time will it take me to answer all the questions?

Using EzValuationPro should take no longer than 45 minutes to an hour to answer all the questions, as long as you have the company's recent financial statements available. EzValuationPro can be used with the most recent one, two, or three years of financial statements. When using more than one year, it uses a weighted average, giving more weight to the more recent year(s).

Does the business valuation software consider future potential?

Yes it does. Several of the questions it asks are designed to quantify the future potential of the business being valued. The business valuation method it uses relies partly on past financial performance, as well as non-financial characteristics such as growth projections, industry, and trend which are designed to estimate future potential.

How accurate is EzValuationPro?

For most businesses, EzValuationPro produces a ver accurate business valuation report. In our testing which involved running EzValuationPro and then doing the same company valuation by hand, the estimate of value was within 10% in nearly all instances. However, EzValuationPro allows a user to exercise more judgment which means that the same company could be valued differently by two users of the software.

How much Does it Cost?

EzValuationPro is based on a monthly subscription. Subscription prices vary (from $33 to $50 a month). Based on the length of time and the volume of reports users can pay as little as $1.33/report.

Can I use my company valuation report to get a loan?

Yes. YOur report can be helpful in getting a loan. Many of our clients have used their valuation report to support loan applications, with good result. The report details the logic used in a way lenders will readily understand. While we do not offer financing services, if you need a referral to someone who can help create a complete loan package please contact us.

Can I use my report to raise investment capital?

Yes. Venture capital and angel investors are very concerned with the current value of a company in which they are considering an investment. A third party company valuation with a clear explanation of the rationale supporting that valuation can be very helpful in persuading an investor to make an investment.

In what formats will the business valuation report be created?

The EzValuationPro can create its 13 page reports in either pdf or Microsoft Word (.docx) format. You can select either format each time that you print the report.

Can I edit the report?

The EzValuationPro report in Microsoft Word format is easily edited after it is downloaded. Additionally, for a fee, you can edit the template that we use to create the report and send it to us so that reports you produce can be in your custom format. You can customize everything from page layout, and fonts to wording. You can include your company logo or pictures in the report. To get started please contact us.

What does the report look like?

There is a sample report that you can download. Of course, every report is different because each company is unique so your reports may not match this hypothetical company's exactly.

When do I need a professional to help with the valuation?

There are a number of areas where we advise that you seek professional assistance instead of using our software. These fall into two categories, those where we can assist you and those where we can not (but we may be able to recommend somebody who can). The areas where we CAN assist are:

  • sales to a related party (such as a vendor or distributor)
  • mergers where the acquirer is paying in equity
  • when you can not accurately determine the approximate fair market value of your assets
  • a start-up that is not producing revenue
  • a payroll service, web hosting or ISP
  • a professional practice (such as a dental office, law firm, or physician's practice)

The areas in which we may be able to recommend someone to assist you:
A business where real estate is a substantial portion of the transaction and you can not determine the value of the property. Significant intellectual property, such as patents, that are not yet producing revenue.

Private Labeled Services

What are private labeled services?

Some professionals, such as business broker and accountants may wish to integrate our valuation software with their website. We offer private label services to accommodate such businesses.

Can it have the look and feel of my company's website?

Yes, we can integrate a custom header and footer so that the software looks as if it is on your own website.

Can I use my own domain name?

Yes, we can host the software at a URL like valuation.yourcompanyname.com. Please contact us for more information.

Can I customize the report?

Yes, we can allow you to customize the report to contain special wording. For example, you could include a section of the report that describes the services your firm offers or you could include contact information and biographies of your employees.

Can I restrict access?

Yes, we can password protect your private labeled valuation engine.

How can I use it for prospecting?

We can customize a survey screen as part of the report to allow the users to request more information about your services. The results can be e-mailed directly to you.

EzValuationPro Features:

  • Ability to weight years
  • Adjustment from cash to accrual basis
  • Ability to edit data (play what if, complete process in several sessions)
  • And more