A valuation specialist typically considers the following factors in performing a valuation:

  • Milestones achieved by the enterprise
  • State of the industry and the economy
  • Experience and competence of management team and board of directors
  • Marketplace and major competitors
  • Barriers to entry
  • Existence of proprietary technology, product, or service
  • Work force and the work force’s skills
  • Customer and vendor characteristics
  • Strategic relationships with major suppliers or customers
  • Major investors in the enterprise
  • Enterprise cost structure and financial condition
  • Attractiveness of industry segment