A US group that provides online business valuations has revealed the launch of a dedicated product for accountants and business advisers.
The Accountant Office product aims to enable accountants to provide their clients with real-time insight into the fundamental question about their business – what is it worth?
BizEquity, the group behind Accountant Office, hit the headlines earlier this year after receiving backing from investors to launch in the UK.
To date the company has valued more than 29.4 million businesses worldwide, with revenues ranging from £25,000 to £250m.
Speaking to AccountingWEB prior to the launch Michael Carter, founder and chief executive of BizEquity, said: “Today, many accountants look to provide valuation services but do not have an automated system with built-in data comparables to help them do so. They rely on static data comparables and an Excel-based spreadsheet.
“We have automated it and enable them to calculate valuations in real-time so they can do more valuations”, Carter continued. “The offline way takes 2-4 weeks to prepare; our service enables them to complete a valuation with three years of financial data in less than 10 minutes and generate a 29-page customised report.”
According to BizEquity more than 98% of the 200 million businesses worldwide fail to value themselves annually, largely due to the time and cost constraints, and business valuation is an emerging practice area that accountants are adding to their service offerings to better serve their existing client base.
Carter sees the market for valuation software expanding and colliding with big data-based corporate performance insight or business intelligence to “help businesses see how they rank against their peers, not just what their company is worth”.
“If you think about it”, Carter said, “every stove pipe system (CRM, ERP, BI) should feed the enterprise valuation management system. We are the first mover in this new multi-billion dollar market.”
Do you include valuation services as part of your practice offering? Would a tool like this be useful?