Podcast: The Keys to Succession Planning and Business Valuation

Key Points:

  • Buyers want equal alignment with sellers.
  • An accurate valuation is critical when selling a business.
  • Valuations before the pandemic need re-evaluation.

Brad Jay, Partner-in-Charge of Manufacturing, Distribution and Retail Services, brought together three industry leaders to provide knowledge, insights and best practices from their experiences in business valuation and succession and estate planning.

Jon Gormin, Managing Director of Owner Resource Group; Brad Wallace, Partner, LKCM Headwater Investments; and Curt Germany, Partner-in-Charge of Valuation Services at Weaver’s shared their perception of today’s trends as it relates to alternative exit options and valuation considerations.

When businesses prepare their exit strategies, there are some critical components to keep in mind to get ready for the process. And, for investors considering such a transaction, several things go into their valuation of a business.

“Investors care about financial information and having quality financial data,” Gormin said. “It doesn’t matter if it’s a strategic buyer, equity buyer – whatever it is, make sure you have accurate books and records. Be prepared. If there is noise in your numbers, somebody will end up finding it.”

“There are two elements from a buyer’s perspective,” Wallace said. “What does the business look like today, and where’s the business going? Nobody really buys a business for what it is today. They buy it for what it’s going to be.”

From a valuation standpoint, Germany said the outlook is as complicated during the pandemic as during the 2008-2009 financial crisis.

“It’s imperative to demonstrate a deep understanding of how that business was impacted from the pandemic, both positively and negatively, to avoid leaving any money on the table,” Germany said. “Most importantly, if there are any permanent impacts to the business, we want to make sure we know how to reconcile that to what it was like pre-COVID.”

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© 2021

Curt Germany

Curt Germany

Partner-in-Charge, Valuation Services


Curt Germany, Jr., CVA, who was a managing director and member of the management committee at HSSK until its merger with Weaver…

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