Bva

BVA 's operations will continue and should not be affected during this lockdown period. We have dedicated staff working remotely to maintain the level of service our clients expect from us and have made available various digital offerings to assist staff to seamlessly work from their homes. Our priority is to ensure that our business provides continuity to you our client.

Stay safe.
The BVA Team

We treat information and data received from clients with complete confidentiality at all times. As part of our documentation we sign non‐disclosure agreements with all clients. We can also be retained by your attorney to provide client‐attorney privilege.

A business valuation lies at the heart of the decision making process for all our clients therefore providing a valuation that is unbiased, independent and professional is our standard delivery mandate.
Business owners, buyers, sellers, auditors, investors and other users make important financial decisions based on valuations that can dramatically impact people’s lives. If you are looking for a professional, unbiased and objective valuation opinion, Business Valuation Advisors is the business valuation firm for you.

These terms are used interchangeably by valuation users. They are all opinions of value. The scope of analysis and level of report that the valuation expert is proposing, irrespective of what it is called may differ from firm to firm.

Yes. Common intangible assets are customer and supplier contracts, license agreements, franchises, covenants‐not‐to‐compete, copyrights, designs, goodwill, technology, software, trade names, intellectual property, trademarks, patents, copyrights, trade secrets and proprietary methods or technology etc. Intangibles assets are non‐physical assets (as distinguished from physical assets) that grant rights and privileges, and have economic benefits for the owner of the asset.

Subject to other agreements in place minority interest in a company may be considered less valuable than a controlling interest because the minority interest holder can not control policy setting, payment of dividends, compensation, investment in and disposition of assets, strategic direction and operational aspects of the company. Investors generally pay more for the rights, liberties and benefits afforded a controlling interest, versus a non‐controlling interest.

We specialise in business valuations. However we can refer you to professional, qualified property valuers we contract on a regular basis. You are welcome to provide us with the valuation reports of other property valuers if this exercise has already been concluded.

The Independent Regulatory Board for Auditors (IRBA) are becoming strict on professional conduct and prohibit auditors from valuing their audit clients due to a conflict of interest. We have the greatest respect for the accounting profession and whilst Chartered Accountants do an excellent job with taxes and accounting very few (<2%) have the expertise and credentials to value businesses. Most Chartered Accountants cannot value their own clients’ businesses even if qualified to do so because they have an inherent conflict of interest. More often, Chartered Accountants ask us to value their clients’ businesses, and supply us with the quality financial reporting and data we need to do the valuation. Our team of valuation advisors at BVA are Chartered Accountants however we have specialised in the field of valuing businesses for the last 20 years.

No. We specialise in valuations and providing expert valuation and transfer of private business interests. Please refer to our website for a detailed list of our services and products.

No. Some people wrongly perceive business valuation services as a commodity that yields identical results regardless of the valuation provider. However, training and experience matter a great deal, as does the scope of analysis and depth of research conducted, among other factors, and all business valuation outcomes are not identical.

The cost of a business valuation is dependent on a number of factors. Factors include (1) your intended use and users, (2) the scope of analysis performed, (3) the type of report required, (4) the nature and complexity of the business and make up of its assets, (5) the specific business interest being valued, and (6) access to information and the quality of records. It takes many hours to compile information, fully analyse a company, develop a financial forecast, apply valuation methods within each required approach and make a final determination of value, and prepare a comprehensive valuation report. When appropriate, we can provide limited scope value calculations for much lower cost. The appropriate level of service and fees can usually be determined accurately after an initial phone conversation with one of our valuation experts and the latest set of Annual Financial Statements of the company.
Prior to any engagement an accurate fee budget will be provided.

When you only need an estimate of value for internal use, a limited scope calculation analysis and letter report may be adequate. For share transfers, SARS, SARB purposes or shareholder disputes, a full analysis and comprehensive report is generally needed. We will recommend the appropriate product after our initial consultation and review of the Annual Financial Statements.

Depending on the size of the business and the valuation scope, valuations take anywhere between 1 to 14 days from our receipt of the information we need from you. The actual time‐frame depends on the scope of work, the complexity of the business, the accuracy and completeness of information, our workload and other factors such as availability of data on request. We can often deliver reports on accelerated time frames when they are needed urgently.

Value is an opinion not a fact. Whether or not a business valuation withstands the scrutiny of a partner, investor, regulator, lender or court, as the case may be, depends on the credibility and skill of the individual offering the opinion. Selecting an experienced valuation professional increases the likelihood that a valuation will be accepted by your intended users. Before you hire a business valuation expert, understand his or her credentials and years of experience.
The highest quality and lowest price is an unlikely scenario. Be wary of the cheap quotations. What often starts off being cheap may end up being very expensive in the long run.

Any of our experts would be pleased to discuss your valuation needs, confidentially and at no cost, to get an understanding of your needs and requirements to enable a quote for the appropriate level of service required to suit your specific requirements. Please contact us, or see business valuation process for more information.

It is important to specify the type of report and analysis when getting fee quotes from different valuators to ensure you’re comparing like to like.
We are often asked to provide quotes for valuation services. In order to provide a reasonable estimate of the cost of preparing a valuation report, it is necessary to obtain some basic information, including:
•The Annual Financial Statements of the business.
•The size and nature of the business in question.
•The purpose of the valuation (i.e., purchase and sale, a re‐organization for tax purposes, financial reporting, litigation ‐ for example, a matrimonial dispute).
•The valuation date (either a specific date in the past or a ”current date“).
•The specific interest(s) being valued (shares, a specific class, a control vs minority position).
•The type of report being requested (comprehensive, indicative, estimate or calculation).
•Any agreements in place to regulate the valuation methodology to be applied.

Yes we do. In cases where a business cannot display any profits, for example new businesses or underperforming businesses, the best method to value the business is identified. This method also takes the adjusted value of the assets net of the liabilities. In addition there may also be non‐tangible assets that could add to the value.

No. A full analysis and understanding of business operations is required for an accurate valuation and assessment.

To value your business, we will need you to send us the following initial documentation:
•Management accounts since the last Financial Statements
•Any loan or other important agreements entered into by the business
•Lease or finance agreements entered into by the business
•Incorporation documents
•Minutes of board meetings for the last year
•Fixed Asset Register with cost, book and tax values
•Dividends paid
•CAPEX required for the foreseeable future
•Management’s detailed revenue and expense forecasts for the foreseeable future
•Asset valuations on all material Fixed Assets
•SWOT Analysis in addition to risk profile
•Shareholders agreement
•Any information that we in our professional judgement require

Here are some reasons people choose Business Valuation Advisors to value their business:

  • Specialists. Having been in the industry of valuing businesses since 1998, we are specialists at valuing companies.
  • Personalised Attention. Get your burning questions answered by an experienced business valuation advisor.
  • Confidentiality. Our business valuation advisors are trained to maintain absolute confidentiality of all communications.
  • Pricing. We have a range of valuation products to fit your specific requirement and budget.
  • Quality. We are committed to providing a quality service.
  • Professional. Our business valuations have been accepted by clients, buyers, sellers, partners, advocates, attorneys, investors, auditors, banks, SARS (South African Revenue Services) etc. Our valuation advice has been validated by real world transactions.
  • Independent. We provide unbiased, independent business valuation advice and we stake our reputation on every valuation report we do. Clients, buyers, sellers, auditors and investors.
  • Experience. We specialise in valuations of businesses. Our valuation professionals have expertise in a wide variety of industries and can meet a variety of complex valuation needs for companies and other large or small entities.
  • Detailed Reports and Analysis. We tailor each business valuation engagement to the needs of your particular business interest. Our team engages in a detailed analysis of your company and will provide you with an independent, business valuation report to give you an indication of the future potential for your company and an essential management tool for many planning strategies.
  • Ease. We have streamlined the business valuation process to make it as easy as possible for you.
  • Happy clients. Read what our clients have to say about working with us .

We recommend that all business owners get a valuation done at least once every year. Your business is potentially your most valuable asset, and there are a whole host of reasons why you should know what it’s worth at all times. The detailed financial analysis provided with the valuation is an invaluable tool for management to monitor the progress of creating shareholder value and managing the business.

This is a common question encountered during the transition period and we can offer advice to account for the changes that take place between the valuation date and the effective date of takeover.

We treat all discussions with business owners and shareholders with complete confidentiality. You drive the process and advise us on who will be part of the valuation process.

We treat information and data received from clients with complete confidentiality at all times. As part of our documentation we sign non‐disclosure agreements with all clients. We can also be retained by your attorney to provide client‐attorney privilege.

Disbursements are budgeted at R500 per valuation assignment for printing and stationery, telephone calls etc. In the unlikely event that additional disbursements are required on your behalf we will seek your approval before proceeding.

Our fee is based on the time our staff spend on your assignment taking into account the skills of the staff required and previous similar assignments we have conducted. We have a fee range to cover any unforeseen eventualities that may come to light during the assignment. A few examples of items that may impact on the additional inputs required on the valuation are:‐
•if adjustments are required to correct the historical financial statements
•in the event if year to date information is required and is supplied in the format of management accounts or trial balances additional time may be required to convert this information into pro‐forma financial statements, provide for taxation payable and calculate the depreciation charges that normally do not reflect in the management accounts
•any financial statement errors or balance forward errors in the historic financial statements and the retained income
•the format of forecast budgets and if we will be required to set up the expense budget table
•other specific workings or analysis required to convert data supplied

We treat information and data received from clients with complete confidentiality at all times. As part of our documentation we sign non‐disclosure agreements with all clients. We can also be retained by your attorney to provide client‐attorney privilege.

We treat information and data received from clients with complete confidentiality at all times. As part of our documentation we sign non‐disclosure agreements with all clients. We can also be retained by your attorney to provide client‐attorney privilege.

Our clients are located locally from all over South Africa, SADC and globally to clients in Australia, Belgium, Botswana, France, Germany, Namibia, United Kingdom, United States of America etc.


Business Valuation Services" I want to thank you for the very professional and detailed valuation provided to us on short notice and at a most reasonable fee. As you know our clients were involved in a high value dispute that ended up in mediation and in which the valuation of the group was key. Given the quality and detail of the valuation done by you, it had to be accepted by the other parties and saved us many hours of finding common ground on this key issue. The valuation produced by you paved the way to a speedy and fair resolution of the disputes between the parties. I am most grateful for being introduced to you and shall undoubtedly make use of your services again. "

Mr. P.V. Ellis - Founder of Ellis & Partners Legal Practitioners