Regardless the size of the company (start-up, SME, VSE, etc.), its managers regularly have to wonder about its real value. Being able to evaluate your company is essential in several situations, such as a fundraising, an opening-up of capital, a business transfer or a handover.
A company valued by a specialized firm reassures investors but also its customers and partners. This is an approach that facilitates negotiations.
Warning: the accounting value of an innovative company is only a partial indicator that does not account for its true value.
Why carry out a financial valuation study?
The valuation of a company is useful in the following cases:
- Preparation of a fundraising;
- Transfer or acquisition of a company;
- Acquisition or transfer of technologies;
- In case of a merger between two companies;
- In order to opening the capital of a company.
What are the items evaluated in a valuation study?
Several criteria are taken into account by Brandon’s experts when working on a valuation study. Among them:
- The market of the company;
- Its intangible assets;
- Its industrial means of production (if applicable);
- The business strategy in the medium term;
- Its growth prospects (internal and external);
These data are analyzed and processed using our proprietary methods ValoFlash or ValoFin and enable us to give the objective value of your company.
At the end of the mission, a report including our conclusions and recommendations is presented to the company’s managers during a dedicated meeting. This study, that may be certified by a contribution auditor, can then be used in future negotiations.
Our financial valuation studies include the participation of our consultants to a presentation of our conclusions to a contribution auditor or an investor.
For these valuation studies, our firm uses a method widely recognized and appreciated by actors of the world of innovation. We are proud to have a 100% success rate on the acceptance of the findings. Indeed, none of the studies presented by Brandon Valorisation has been challenged by the auditors, usually appointed by our clients.
In some cases, the studies conducted by our teams have reached values of several tens of million Euros.
The Brandon Group has been approached by a start-up to work on its innovation development strategy.
As this was a promising environmental project, we worked with Brandon IP, intellectual property consulting firm, to patent this invention. The patent application was thus filed, and the manager followed our recommendation to proceed with the financial valuation of the patent application.
Filed under the name of the partners, the patent application has been valuated at about € 500,000 and later brought to the start-up company capital, thus considerably increasing its equity.
The capital increase was carried out with the intervention of a contribution auditor. Then, the managers of this company wanted to prepare a fundraising. To do this, they asked us to carry out the financial valuation study of the start-up, now full owner of the patent.
We carried out this study which concluded to a value of approximately 3 million euros!
It was on this basis that the opening up of the capital to investors has been negotiated.
As a major player in innovation services since 1991, the Brandon Group also developed, for companies, incubators, universities and engineering and business schools, awareness sessions about intellectual property and financial and economic valuation.
These are the Ateliers PEPITE!
Brandon Valorisation has developed a financial valuation method for intellectual property rights and, on a broader level, for intangible assets. It is adaptable to your company’s needs since it takes into account its size and specificities.
For more information, please consult our dedicated pages:
- Financial valuation study
- Patent valuation
- Trademark valuation
- Software valuation
- Intangible assets valuation
- Franchise valuation
- Domain name valuation
- Website valuation
- Know-how financial valuation
- Valuation diagnosis, “Valo’Diag”
The Brandon Group has a unique offer that combines intellectual property and economic and financial valuation of your intangible assets, in France and abroad.
The Brandon Group is the acquisition and defense of your intellectual property rights and its essential complement, “the creation of value through business”!
Do you want to know more?