The three assessments that business owners can complete require additional information in order to provide accurate results. As some of the questions in the assessments require data revolving around their business financials and personal financial goals, use the list below to have them be better prepared.
There is also a word document file that you can download below to send to your prospects with the requirements needed.
Value Builder Score: Most numbers are approximate and the business owner will only need an understanding of their business to answer but there are a few numbers they will need to provide:
- Your profit margin % (before tax) for your most recent financial year
- Annual Revenue last year
- Revenue growth from the year before (% generally speaking)
- Typical gross profit margin (Estimate)
- Pre tax profit for the last 3 years
- Your NAICS code if possible (can look through options in the assessment if needed)
PREScore: This assessment does not require too much data beforehand as the questions are really about the business owner’s opinions and desires.
- Know what percentage of their company they own
- What their minimum number might be for their business (minimum amount of money they would garner from selling the shares of your business to be able to look back on their exit without regret)
- If they have received an offer in the past
Freedom Score: There is quite a bit more data required since this calculates the approximate amount needed to fund their lifestyle.
- Desired income for remainder of life
- Expected income from sources other than their investments (pension plans etc.)
- Wealth outside their business (assets that can be sold easily)
- Outstanding personal debt
- Ownership Stake
- Percentage of their company they own
- A rough idea if/how much they want to pay to employees as retention/thank you bonuses
- A rough idea of the tax rate you will be required to pay from a sale of your company
- A rough idea of the amount of cash on hand in the business
- The value of any outstanding long term business loans you owe to 3rd parties