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Business Evaluation Attorneys in Brazil
When it comes to buying an existing business, you want to be sure you are making the right choice in terms of which business you buy, how much you pay, and what value you believe you will gain from such a deal. Assessing the value of a business is not as easy as looking at the sale price of the owner though, especially when the business is in a different country, like Brazil for instance. You need to take into consideration the business’s history, its current worth, and its potential for continuing to make a profit in the future. With so many aspects to research and consider in your decision, one of our Brazilian business attorneys can be a valuable ally.
Contact Us Now
[email protected]
+55-11-4349-1915 Brazil
+1-214-432-8100 USA
Get a Quote Today!
Research the Background of the Business
While you may assume that a business is successful on the surface, it is important to take the time to look into the company’s past to find out exactly how successful they have been. During your acquisition, the owner will have to give you copies of past financial statements. This is a great place to start, but you should not depend on that alone. You will want to launch your own investigation into the company’s records to be sure that the numbers presented accurately represent their finances. You will want to make note of their annual:
- Employee Numbers
- Employee Salaries
- Taxes
- Operating Expenses
- Gross Income
- Net Profits
Assess the Current Worth of the Business
Sometimes, especially when the economy gets slow, business owners will sell their companies in hopes of getting out of the business before their profits get too low. If this is the case with the business you are purchasing, you may find that their current worth has dropped off significantly compared to previous years. Remember, you are not buying the company as it once was, but as it currently stands. Therefore, you need to factor in their current:
- Fleet of Employees
- Number of Physical Locations
- Day-to-Day Operating Costs
- Customer Base
- Need for Repairs or Improvements
- Net Daily or Monthly Income
Estimate Future Profits of the Business
In order to predict how the business will fare in the future, you will need to make a few educated guesses based on your research. Based on the economic outlook in that country and local area, what actions will you need to take to keep the business profitable? How much in terms of expenses will this require? In order to get as accurate a prediction as possible, you should factor in:
- Competing Businesses
- Future of the Industry
- Customer Demographics
- Purchasing Trends
- Potential for New Customers
- Surrounding Community Growth/Decline
Invest in a Business Attorney
Taking the time to acquire and sort through all of this data can be intimidating. Once you have it all, you need to know how to use it to come up with a value for the business so you can make a strategic offer that makes sense. By investing in a business attorney in Brazil, you will have someone who has the experience, expertise, and time to take care of all these details even when you can’t be there. We can provide you with an attorney who will guide you through the process and make sure you get the best possible outcome for your acquisition.
Contact Us Now
[email protected]
+55-11-4349-1915 Brazil
+1-214-432-8100 USA
Get a Quote Today!