“The true value of correct advice is worth far more than its cost…”
When you need an accurate and unbiased opinion of your business value, it is important to select a company that has local “on the ground” knowledge and a proven history of accuracy and quality. Perth Business Valuations is that company.
We are local, Western Australia-based licensed business valuation experts. Unlike many of our peers, we do not operate from the east coast. We focus exclusively on Western Australia, thus giving us a “local perspective” and intimate knowledge of the unique local market that cannot be matched by outside valuation companies. Valuation methodologies in the eastern states also differ from Western Australian jurisdiction in small but critical aspects, making it all the more important for our clients in Perth to have a Western Australia-based valuation.
Perth Business Valuations carries over 30 years of combined business and property valuation experience, which has proven invaluable in the various business valuation circumstances that we value in. Our valuation staff members are university graduates with a business degree or a commerce degree, majoring in business and property valuation, and are licensed by the West Australian government as registered valuers who maintain CPD compliance to this effect. CPD compliance ensures that valuers are up-to-date with the latest developments in this industry.
We also utilise accurate and up-to-date market evidence of business transactions within the Western Australian jurisdiction, thus enabling us to produce solid market evidence-based valuation reports for our clients.
Our high reporting standards consistently result in reports that are able to withstand critical examination, and our wide base of knowledge across various industries allow us to provide excellent valuations for a broad range of businesses. While other valuers might use “rules of thumb”, hearsay evidence or broad averages to determine the value of a business, we are able to provide unbiased, market evidence-based business valuations that focus on the unique Western Australian market. In other words, our business valuations are backed by independent and unbiased market research, which strengthens the integrity and reliability of our valuations, particularly in circumstances of an adversarial nature.
We generally aim for a maximum turnaround time of two weeks from receiving the necessary information to completing the valuation. Our valuations always include a site visit to the business premises (unless not physically possible), and a thorough interview with the business owner / manager.
Partnership buyouts and transfers – We provide up-to-date, market evidence-based valuations to assist business owners who are seeking to transact into or out of their companies. Business ownership inevitably changes over time (due to retirement, changes of circumstances, relational fallouts, etc.) and our valuations assist business owners by providing an independent, unbiased third party opinion as to the value of their shareholding in a business.
Single expert witness valuations for matrimonial / legal purposes – It's an unfortunate reality that there will be times when an independent valuation of business assets is required for assets splitting purposes in a matrimonial or legal settlement. We have considerable experience in representing clients on both a single expert witness basis and an assisting expert witness basis for legal practitioners in Western Australia. As a proud member of the Western Australian Law Society, we have specifically developed our valuation reports to best assist legal counsel in determining the value of the business assets that they are seeking to value. Our valuation reports are also able to withstand the rigours of cross-examination, and are prepared in accordance with generally accepted legal practice standards.
Australian Tax Office-approved business valuations for stamp duty and taxation assessment purposes – There is often the need for an independent, third party business valuation opinion for taxation and stamp duty assessment purposes when a business owner transfers their business assets between related entities. Additionally, independent business valuations are often required in matters relating to assets level tests for taxation discounts. Our valuations are accepted by the Australian Taxation Office, as well as the Western Australia Department of Commerce with respect to providing an expert opinion on the value of business assets.
Bank panel finance valuations for selected industries – Our business valuations are accepted by certain financial institutions in Perth for financing purposes. Please contact us for further information in this regard.
Business valuation is a highly specialised field. By engaging a business valuation expert, you significantly increase the reliability and accuracy of the valuation that is undertaken. Business valuations are often required for legal purposes, so it is imperative that a correct assessment of value is provided in order to achieve a fair and equitable legal outcome.
Here at Perth Business Valuations, our main company qualifications relate to the extensive experience we have in the valuation, sale and acquisition of Western Australian businesses. Besides ensuring that our team is suitably qualified and well equipped, we are also licensed property and business valuers in the state of Western Australia, as well as land and business agents. All this ideally positions us to provide accurate and relevant business valuation outcomes for our clients.
Focusing exclusively on Western Australia, our specialty lies in “going concern” business valuations across all business industries, including the services industry, hospitality, tourism, manufacturing, wholesaling/distribution and retail businesses.
1. Capital gains tax valuation
We were recently engaged to provide a client with a business valuation for capital gains tax purposes. The client’s accountant wanted to ensure the total assets of the client were below the $6 million maximum net asset value as prescribed by the Australian Taxation Office. Due to the size of the client's business and their other assets, there was some doubt as to whether they would fall under the $6 million net asset threshold. We completed a business valuation for the client, which was then used as the basis for the accountant’s submission to the Australian Taxation Office for capital gains tax exemptions. The Australian Taxation Office challenged the business valuation assessment, and as part of that challenge process, our valuation was thoroughly scrutinised by the Australian Taxation Office. We are pleased to say that our valuation methodology and outcomes withstood the examination by the Australian Taxation Office and they withdrew their challenge, allowing the client to claim the full capital gains tax exemptions.
2. Partnership restructuring
We are commonly asked to provide business valuations for partnership restructuring purposes, where company directors are either selling out of their interests to other directors or seeking to buy into companies. This is particularly relevant in service based industries, where the skills and abilities of the working directors contribute significantly to the overall profitability and success of the company. We have successfully completed numerous valuations for business directors who are actively involved in their business, and have the appropriate methodology and understanding to separate the company commercial goodwill from the directors’ personal goodwill.
3. Companies merging
We were engaged to provide a business valuation on a large, $25 million plus turnover retail business with multiple retail outlets and an online presence. This company had been approached by another similar retail company with an offer to merge, and a valuation was required to assess whether there was a share premium payable as part of the merger process.
Please contact BLAIR MACDONALD to discuss your requirements.
TEL: 0433 149 144
Lecturer at School of Business & Economics - Curtin University
“Blair has been lecturing final year Curtin University Valuation Students in Business Valuation for many years. He has expert knowledge of his industry and always presents an informative and entertaining lecture. Blair always receives positive and enthusiastic feedback. His contribution to the students' knowledge field is invaluable.”
Director at Westcourt Pty Ltd (Accountants)
“Blair has done business valuations for tax purposes in the past and he has been fast and well priced. One of the valuations done by Blair was subject to audit scrutiny by the Tax Office. The valuation impacted a tax liability of up-to $6m (as opposed to nil that we were arguing). Blair's valuation and methodology was the subject of significant scrutiny by the Tax Office and we were delighted when it was accepted. We will continue to refer work to Blair and we have no hesitation in recommending his services.”
Director at Alyka Pty Ltd
Speaker | Digital Marketer | Entrepreneur | Twitter @duggiel | YouTube duggiel
“It's been an absolute pleasure dealing with Blair and his business. In terms of business valuations, he has an outstanding attention to detail, very thorough and very good at what he does. I have no hesitation in recommending his services. He also has a high likeability factor about him, which adds to the service. Thank you Blair for all your help.”