What are our long-term plans for the company? What investments are required in order to succeed? Do we need to acquire companies to achieve our growth goals? Should we offer the employees part-ownership in the company? Should we buy out certain owners? Should we keep going forward or is it time to sell? What is the company worth then? How can we maximize the company's value? You can undoubtedly provide more examples of the central questions from your own business.
We offer financial advisory services in the form of corporate valuations and financial analyses e.g. prior to a change of ownership, upon making an acquisition as well as in connection with capital funding. Or, maybe you would value a second opinion regarding a bid made for your company, or an objective discussion concerning a possible acquisition?
Censor’s valuation model has been developed based on extensive experience in buying and selling owner-led companies. The model’s ultimate aim is to create a sound basis for valuation that both the buyer and the seller can understand in order to agree on a level of valuation that is relevant to both parties.
A gradual change of ownership is something many owners can think about for a long time. It isn’t just the company’s revenues and earnings that affect a company’s value but also tied-up capital in fixed assets, level of net working capital, financing and liabilities etc. An important part of the preparation is to carry out an analysis of the company’s income statement and balance sheet in order to decide on the correct measures to be taken in order to optimize the company’s value. Examples of such measures may include reviewing business models and forms of payment or streamlining the net working capital structure, both by reducing tied-up capital as well as streamlining the financing structure.
Corporate acquisitions are commonly financed both with the buyer’s equity and bank loans. There are many different combinations of bank loans, other foreign capital and equity instruments. Sometimes, the seller also plays a role in financing, for example, through a sellers note or a reinvestment. Censor can act as the buyer’s advisor on acquisitions and in close co-operation with banks, financiers and sellers.
From time to time, a company’s own equity is not enough to finance its expansion or acquisition plans. In some cases, you may also need to bring in new blood and complementary skills to the owner group. Censor acts as an advisor to owners wanting to address an investment offer to a selected number of investors. It is here we can utilize our extensive network of venture capital companies, ‘family offices’ and private investors.