Selling a company in 2020 does not mean selling it for a reduced price
The COVID-19 crisis has affected most sectors, including the M&A. Several entrepreneurs are asking how the value of their company has changed because of the crisis. To answer this question, we have to separate those firms that have the financial capacity to survive this crisis and those who don’t. The buyers are also aware of […]
The impact of COVID-19 on business valuation – Interview with Francisco Duato, Partner of ONEtoONE Corporate Finance
Francisco Duato, Partner of ONEtoONE, interviewed for Capital & Corporate, tells what are the changes that are going to occur in the M&A sector due to the pandemic, mentioning the most affected sectors, as well as the main opportunities for investors. The COVID-19 crisis has forced many companies to adapt to the new situation. According […]
Bridging company valuation disputes with investment risk-sharing formulas
Many private investment transactions do not close due to issues about how future business risks are allocated between the parties. Investors often want to take as little risk as possible, which leads to them offering lower entry company valuation. Company owners, on the other hand, often reject low company valuation. This is because they do […]
The Value of Nothing – How to accurately calculate a company’s value
Words from one of Oscar Wilde’s plays, Lady Windemere’s Fan, have often come to mind during my 25 years in finance and business. Wilde writes about two 19th century upper-class Englishmen discussing the intrinsic nature of short-sightedness and cynicism: Mr. Cecil Graham asks, “What is a Cynic?” Lord Darlington replies, “A man who knows the […]