Series 79: Determine Valuation

Determine Valuation

From the precedent transaction multiples in the table it is possible to determine an implied value for Elite Branding Consultants. Any of the valuation multiples could be used to come up with a value, but since EV/EBITDA is the most frequently used of these metrics, we will use that multiple. The valuation range is determined by forming a range around the median (or mean) of the transaction multiples. It is a common convention to use a range of 1.0 around the median or mean (this means that you create a range low point of 0.5 less than the median and a range high p