Q&A | Meet Our Business Valuation Professionals
At Raincatcher, we believe that small business and our clients are the heartbeat of America, and every small business owner deserves their chance at the American Dream.
To accomplish this dream, we rapidly transform small to medium-sized businesses into companies that are built to sell, and in turn help buyers find remarkable enterprises in which to create their own legacy.
An important component of our process is a business valuation.
Get the maximum value for your business and find the ideal buyer with our industry-leading proprietary valuation resources and proven guidemaps to help through the selling process.
To explain why a valuation is so important for your business, meet our team of professionals, and read about their views on the valuation process.
Meet Our Business Valuation Professionals
Marla DiCarlo – CEO
Marla DiCarlo is an accomplished business consultant with more than 28 years of professional accounting experience. As co-owner and CEO of Raincatcher, she helps business owners get their business ready to sell so they find the best buyer and get paid the maximum value for their business.
Jason Thomas – VP of Business Brokerage Services – Managing Broker
Jason Thomas is a Senior Business Broker who partners with entrepreneurs and business owners to help source the best win-win deal for all parties. After spending nearly a decade in the real estate sales and development industry, Jason knows what it truly takes to get a large transaction through the finish line; hard work, communication, and the ability to connect with your clients.
Mark Halma – Associate Broker
Mark Halma has been a deal maker since he began his professional career. He has spent time working for organizations across multiple industries and phases, including tech start-ups, Fortune 100 consulting companies, and business brokerage firms. This array of experience has made Mark a savvy business-minded individual who enjoys working with organizations of all backgrounds and situations.
Keith Marlow – Associate Broker
As the Managing Broker at Raincatcher, LLC, Keith Marlow works to establish a win-win environment in deal making. With more than 20 years and $800 million in transactional experience, he values the power of proper deal structure and execution, thereby ensuring each sale brings its seller significant reward.
Tim Rinaldi – Associate Broker
Tim Rinaldi is an Associate Broker at Raincatcher who is passionate about having an impact. On our team, this enables him to partner with entrepreneurs and business owners to achieve their goals in selling their businesses. With a background in sales, he has consistently surpassed his quotas through his ability to develop relationships and determination to put in the activity required to move the deals forward to closing.
6 FAQs on Business Valuation
Our experts have used their decades of experience to answer the most important questions related to a business valuation.
1. What are the most important factors to consider when valuing a company?
A buyer is interested in trends that your business is experiencing. “Is the company growing, declining, or stable?”; asks Mark Halma. A firm that is growing sales and earnings is more valuable to a buyer. Tim Rinaldi asks: “How confident can the potential buyers be that they can not only sustain the current level of performance but grow it?”
Tim also determines how the business rates using the eight factors that drive business value. Drivers, such as financial performance, growth potential, and customer satisfaction, are important metrics to measure the value of a business.
Keith Marlow inquires about recurring revenue. “What is the amount of recurring revenue, and is there a subscription-based element to their recurring revenue?” A business that generates recurring revenue has a more predictable level of sales and profits. Also, a base of repeat customers requires far less marketing costs to generate revenue.
Businesses that are unique generate more value. Keith asks: “Does the company have a moat around it?” If a firm has IP, a unique or cost effective processes, or a special talent pool of employees, the company has a competitive advantage in the market.
2. What type of valuation method do you like to use?
Performing a business valuation requires a deep understanding of the owner’s mission, the firm’s balance sheet, and cash flow considerations.
Tim is interested in computing the seller’s discretionary earnings, or SDE. In addition to profit, the benefits that an owner realizes from the business include salary, benefits, and depreciation. At Raincatcher, we analyze SDE, along with the firm’s industry and the size of the business.
Raincatcher’s experts closely review a company’s assets, to understand their true value. For example, a company that uses machinery and equipment to work more productively than the competition is more valuable to a buyer.
Keith focuses on understanding a company’s working capital requirements. One method to assess working capital is to analyze accounts receivable and accounts payable aging reports.
Marla mentions that market comparables are very important in order to support a value of opinion. However, keep in mind that a business is only worth what a buyer is willing to pay.
3. What is the benefit of obtaining a certified business valuation?
A certified business valuation provides an unbiased opinion regarding company value.
This type of valuation gives an interested buyer confidence in the valuation analysis and conclusions. In addition, the seller is more confident that the sale price is justified.
In some situations, a certified business valuation may be a requirement to complete a transaction. Raincatcher has strong relationships with experts who can provide a certified valuation for your business.
4. How Will the Business Broker Establish the Appropriate Price for My Business?
Our brokers work as trusted advisors, and use their expertise to determine a reasonable price for your business.
The experts at Raincatcher analyze market trends, and recast the financial statements to reflect the value of your firm to a buyer. We work as a team, and maintain an unbiased perspective to determine the valuation range.
We then price your business at (or slightly above) the upper end of the valuation range. This strategy allows us to generate as much interest as possible, while also being aggressive.
5. How Does Raincatcher Maintain Confidentiality Throughout the Business Valuation Process?
You’ve worked for years to create business value, and we protect that information throughout the entire sales process.
We insist that prospective buyers sign NDAs before sensitive company information is shared, and we enforce the NDA requirements on your behalf.
Raincatcher uses ShareFile technology to protect your data when it is shared with another party. We minimize the data shared by only asking you for what is necessary. Our firm does not speak with outside parties about your data, unless you instruct us to do so.
6. What makes Raincatcher different?
We focus on the seller’s needs not our own. Our firm strongly believes in a realistic and honest valuation process that focuses on accuracy and not “winning” a listing.
We embrace authentic, radical honesty and always choose integrity, regardless of the deal. Raincatcher uses a team approach, and we believe in accountability.
Our objective is to educate the seller about their options. If it makes sense to work on the business, we will recommend affiliates that we partner with to help the owner maximize the value of their business.
Work With a Trusted Advisor
Our team has worked with thousands of businesses, and we all have the small business entrepreneurial spirit
We care – the phrase “blood, sweat and tears” is not a cliche in our company. Instead, it is a statement about how hard our small business owners work to grow their company. We do not take that lightly.
Raincatcher will operate as your trusted advisor throughout the entire sale process, so you can sell your business at an attractive price without regrets.