Sign up for this blog here if you want tools to increase the value of your business or want a refreshing view on business valuation from a recovering CPA. I’m Josh Horn, CPA, CVA of Horn Valuation. I value businesses for owner exits with a focus on HVAC and trade contractors. I also assist litigation and divorce attorneys as a business valuation consulting or testifying expert. My clients are business owners and attorneys. If you’d like more information, email me at [email protected], or call me at 217-649-8794.
I’m a licensed Certified Public Accountant (CPA) and credentialed in business valuation (CVA). I’ve been a tax and business consultant in a top 100 CPA firm and a controller in a large international company. I’ve also valued and advised small family-owned and multimillion-dollar companies. You can connect with me here on LinkedIn, Facebook, Twitter, YouTube and Instagram.
“Once-in-a-lifetime events demand an expert.” Josh Horn, CPA and Certified Valuation Analyst
Here’s a 3 minute video I put together to answer the question, “why can valuing your business be tough?” and how you can solve it. Secure link here or YouTube here:
Sign up for this blog here if you want tools to increase the value of your business or want a refreshing view on business valuation from a recovering CPA. I’m Josh Horn, CPA, CVA of Horn Valuation. I value businesses for owner exits with a focus on HVAC and trade contractors. I also assist litigation and divorce attorneys as a business valuation consulting or testifying expert. My clients are business owners and attorneys. If you’d like more information, email me at [email protected], or call me at 217-649-8794.
I’m a licensed Certified Public Accountant (CPA) and credentialed in business valuation (CVA). I’ve been a tax and business consultant in a top 100 CPA firm and a controller in a large international company. I’ve also valued and advised small family-owned and multimillion-dollar companies. You can connect with me here on LinkedIn, Facebook, Twitter, YouTube and Instagram.
“Once-in-a-lifetime events demand an expert.” Josh Horn, CPA and Certified Valuation Analyst
Whether you’re running a business or buying one, it’s important to understand losses. By “losses”, I mean when expenses exceed sales. In simplest terms, it’s when the income statement or profit and loss shows a negative number. You don’t need to immediately panic. You need to review the causes.
Here’s my list for non-accountants: -> Are there personal expenses? (Pull those out). -> Is it a Tax loss or a Cash loss? (You care about Cash). -> Cash losses can’t keep going unless more money is invested or borrowed.
Or, stated another way… -> Is the business worth more “alive than dead?” (Supporting a family without more debt, capital, or fraud). -> How much cash is going in the owner’s pocket? (Assuming they’re following the rules).
Yes, there’s a lot more I could teach you about accounting if you had the time. But you don’t, so this will put you ahead of 90% of the world.
Hi, I’m Josh Horn, CPA, CVA of Horn Valuation. I help with business valuations in friendly or unfriendly situations. I also help owners build valuable companies. My clients are business owners and attorneys. If you’d like more information, check out my website hornvaluation.com, email me at [email protected], or call me at 217-649-8794.
I’m a licensed Certified Public Accountant (CPA) and credentialed in business valuation (CVA). I’ve been a tax and business consultant in a top 100 CPA firm and a controller in a large international company. I’ve also valued and been the primary advisor to multi-million dollar and small companies in various industries.
“If you’re not working on business value, who is?” Josh Horn, CPA and Certified Valuation Analyst
If you’re concerned about using a business tax return for child support, maintenance, and assets in your divorce case, you’re in the right place. It’s a dangerous gamble unless you know what to do. Learn how you can spot the seven red flags and fix them. We begin with a typical business tax return, walk through the red flag adjustments step-by-step, and quantify the impact. You’ll be amazed how much you could be leaving on the table.
The Seven Red Flags of Business Tax Returns guide is here. This is a bullet-point instruction document that defines the seven red flags, provides guidance on why the red flag matters, and gives you detailed steps to fix each red flag. Don’t skip these steps if you’re using a business tax return in divorce.
Call me if you would like to discuss valuing a business in divorce or litigation.
Thank you, Joshua L. Horn, CPA, CVA Horn Valuation Phone:217-649-8794 Email:[email protected] 2901 Boardwalk Dr., Suite A, Champaign, IL 61822
Horn Valuation is for attorneys, judges, and business owners who believe there’s an easier way to settle business disputes and want to work with a valuation expert using fixed fees. I’ve been a CPA since 1999, a certified valuation analyst since 2008, and valued mom and pops to multi-million-dollar businesses. Call me today if you’re interested in working together on a valuation solution.
I’ve spent a lot of time thinking about this and how I can help you answer this question. Do you need a business valuation or do you need your business valued? The key “big picture” question you should always ask first is:
What Are the Stakes?
The stakes are driven by two areas: #1 = People. Who could get hurt? #2 = Money. How much money could you gain or lose?
People. We’re talking about real human beings who can be affected by the decisions to value a business and the result. Who gets hurt if you’re wrong or your advisor is wrong? Spouses, children, and shareholders can be impacted positively or negatively for years based on decisions made today. Do you or your client understand the downside risk?
Here are two examples at opposite extremes. A young successful entrepreneur and sole owner of a business with no spouse or children. He or she says, “Sell it. I don’t care what it’s worth. Just get rid of it.” Maybe you’re this entrepreneur yourself? Should youth and marital status matter when weighing a decision like this? A husband and wife-owned business with a teenage son. The business is the family’s sole source of income. The mother and son are thrown out of their home by their [spouse/father]. The husband is also fraudulently representing the business income to the IRS and his bank. The decision to value the business and the legal result will impact lifestyle, schooling, medical expenses, and retirement for decades. What would you do in this situation? What would you tell a friend in this situation?
Money. How much money could you or your client lose if you’re wrong? Have you quantified the downside risk of being wrong? Here’s some simple math.
Business Cash Flow / Business Risk = Business Value (Illustration Only–don’t use these numbers.) $ 50,000 / 20% = $ 250,000 $100,000 / 20% = $ 500,000 $500,000 / 20% = $2,500,000 $600,000 / 20% = $3,000,000 $500,000 / 16.6% = $3,000,000 What jumps out at you? Here’s some hints.
You can shoot up to a multi-million-dollar business with modest cash flow.
A $100,000 understatement can result in a $500,000 value change.
What would you spend to close a $500,000 “value gap?” (Turning your guess into real data).
Are you comfortable estimating business cash flow and risk? If not, how would that impact you or your client?
Think about how people and money impact the stakes. Your decision about whether you need a business valuation will become clear. Thanks, Josh
Can I Help You? Hi, I’m Josh Horn, CPA, CVA of Horn Valuation. I help with business valuations in friendly or unfriendly situations. I also help owners build valuable companies. My clients are business owners and attorneys. If you’d like more information, check out my website hornvaluation.com, email me at [email protected], or call me at 217-649-8794.
I’m a licensed Certified Public Accountant (CPA) and credentialed in business valuation (CVA). I’ve been a tax and business consultant in a top 100 CPA firm and a controller in a large international company. I’ve also valued and been the primary advisor to multi-million dollar and small companies in various industries.
“If you’re not working on business value, who is?” Josh Horn, CPA, Certified Valuation Analyst