The Fitness Check
Our Succession Fitness Check serves to determine the status quo with regard to the upcoming generation change of your company. Together with you, we take stock of and analyse your company’s ability to succeed. In doing so, we identify any need for action and make suggestions for measures to optimise the saleability. Depending on how much time is left until the start of the sale process, these measures can help to optimise the achievable sale price.
Measures to improve the saleability
These include, for example, balance sheet measures such as the release of pension provisions, but also personnel measures or the implementation of targeted investments to stabilise the business. For example, the transfer of a pension provision from the balance sheet of the company for sale can create the prerequisite for saleability and at the same time significantly increase the achievable purchase price. The revaluation of inventories and stock can help to clear hidden burdens in the run-up to the sale, thus avoiding unnecessary discussions with potential buyers.
Check existing contracts
A review of existing contracts is also part of the fitness check: Can they be transferred or do they need to be renegotiated? If necessary, customer relationships can be stabilised and dependencies eliminated with the appropriate lead time. In short: there are a number of levers that can be used to improve the conditions for a successful company sale. Our Fitness Check helps you to recognise them.
Company valuation according to recognised standard
In addition, we recommend a detailed company valuation according to the IDWS1 standard (capitalised earnings value method according to the specifications of the Institute of German Certified Public Accountants). This will give you a concrete, initial indication of the value of your life’s work. In a joint exchange and the experience of our daily transactions, we can then approach a possible offer price (market price) and you have one of the most important facts for a possible succession process. In individual cases and depending on the business model, other valuation procedures may also be considered.