Kroll
Description
Accurate valuations are the key to meeting many of the challenges and legal requirements in today’s business environment. Kroll can assist your company in meeting the challenges of raising initial capital, licensing intellectual property, issuing stock options, developing an exit strategy and evaluating the impact of Internal Revenue Section 409a.
Kroll (an MMC company) is the world’s leading risk consulting company. Kroll’s investigations, Financial Advisory and Intelligence Services focus on: valuation, fairness, and solvency opinions; litigation, advisory and forensics; due diligence; investigations; business intelligence; compliance and integrity; corporate preparedness; and asset searches.
Benefits
BRONZE PROGRAM
The scope of the services under the Bronze Program will include performing a valuation of the participating company’s per-share value as of the Valuation Date (“Valuation Date”).
As part of the analysis, the services will include the following:
- Analysis of the Company’s operations, including review of financial statements, history of prior financing rounds, the Company’s products (lifecycle, profit margins, and potential), the competition, and the industry.
- Development of valuation models pertinent to the valuation of the Company, with particular emphasis on how the market and investor community are valuing similar companies and also discounted cash flow.
- Allocation of the business enterprise value based on relevant equity allocation methods including: current value method, option pricing method and probability-weighted expected return method.
- Application of discounts and premiums, including discounts for lack of control (minority interest) and lack of marketability.
- Review of corporate documents including preferred shareholder agreements, and capitalization summary of preferred, common shares, options and warrants.
- Research of market trading multiples regarding publicly-traded companies engaged in the same or similar lines of business as the Company.
- Consideration whether or not the enterprise has goodwill or other intangible value
- Analysis of conditions in, and the economic outlook for the industry in which the Company operates.
- An analysis of Strengths, Weaknesses, Opportunities and Threats (SWOT) of the Company
- Review of previous transactions of the Company’s common stock
- Preparation of a final report discussing valuation methodology, the approach, or approaches utilized in the valuation of the Company, key assumptions, and conclusions.
Silver Program
The Silver Program includes all of the benefits of the Bronze Program, plus a 15% discount from Kroll Valuation standard hourly fees for the following professional services:
- Valuations required to license intellectual property
- Valuations to insure intellectual property
- Valuations to monetize intellectual property
- Valuations of stock options
- Valuations of company assets or equity for financial accounting purposes (SFAS 141, 142 and 144)
Gold Program
The gold program includes all of the benefits of the Silver Program, plus a 20% discount from Kroll standard hourly fees for the following professional services:
- Valuations required to license intellectual property
- Valuations to insure intellectual property
- Valuations to monetize intellectual property
- Valuations of stock options
- Valuations of company assets or equity for financial accounting purposes (SFAS 141, 142 and 144)
More Information
To discuss your company's specific valuation needs, contact Josette Ferrer, Senior Director of Kroll, at jferrer@krollworldwide.com or 415.743.4861 and identify yourself as a BayBio member.
