It is the purpose of The TASCON Group is to provide the owners of any professional practice with a fast, accurate, affordable and quantifiable business valuation value for their practice. Our practice valuations are designed to provide the practice owner and a potential buyer with information that will help facilitate a sale, such as, an estimate of the owner's pretax and after tax proceeds from a sale, an estimate of the buyer's pretax annual income both during the retirement of the debt service from the purchase and after the debt service is retired. Also a stock/equity value is also provided to determine partnership values.
A buyer wants to know that he/she will be paid appropriately and receive a return on investment. Since the owner will probably be holding part of the debt, it is critical that debt be considered as part of the valuation process. These criteria are the key issues determined in future due-diligence reviews by the buyer and seller. Having this information up-front as part of the valuation saves professional fees, time and deals.
Ted is a graduate of Purdue University's Krannert School of Business and a Board Certified Business Appraiser. He has written two books on business valuation that were featured in Changing Times Magazine, a Kipplinger publication. After developing the industries most accurate business valuation methodology entitled the "Optimization" method, he developed and built the The TASCON® Business Analyst, a popular business valuation software platform that has been used by business intermediaries since 1989.
A business valuation is many times misidentified as an art and not a science. Some believe that it is impossible to get an accurate valuation of your practice. There are many valuation methodologies and all are thought to be, when used alone, inaccurate; therefore many evaluators average the results. Averaging inaccurate data doesn't make it more accurate nor does it make sure that the value makes any business sense.
We perform our valuations to the following standard:
A business is worth that price at which it must be able to pay the debt, at market conditions, structured from the sale.
It must also pay the owner a fair market salary.
It must pay the owner a return on investment.
We have found that at any "snap shot" in time, there is only one value that can simultaneously meet these three criteria. Therefore it is mathematically quantifiable to any buyer or stakeholder.