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Business Valuation, Growing Value And Liquidity Realization (Part XXIII Of eBook Series)

Business Valuation, Growing Value And Liquidity Realization (Part XXIII Of eBook Series)

(This is a continuation of a series on Business Valuations)

Phase VIII – Due Diligence DVD – presents a digital versatile disc or memory stick that contains certain underlying information, setting forth the disclosures made by the company. A Trusted Business Advisor shall vet the contents to make it appropriate for a Transaction, but not engage in the verification of any information provided by the Client. This facilitates a prospective investor’s decision-making process and minimizes costs, as the credible backup validates the investment opportunity.

Phase IX – Business Continuity Plan (BCP)

Business Continuity has two goals: (1) business as usual during strategic planning or a capital markets transaction, and (2) disaster recovery planning. Both include creating a working BCP; including Step-By-Step Business Impact Analysis, Risk Assessment, and more.

• Assures that significant disruptive incidents can interrupt its normal business operations. If the company has a high level of dependency upon its automated systems and processes and this creates risks that need to be mitigated.
• Recognizes that the company the needs to recover from disruptive incidents are made as quickly as possible and that this necessity to ensure a speedy restoration of services requires a significant level of advance planning and preparation.
• Assists the company in managing a serious disruptive crisis in a controlled and structured manner. The BCP contains information on emergency contact details, strategies to mitigate impact, procedures to be implemented and communication processes to be followed in response to a serious disruptive event. Major points addressed in the BCP are detailed below.

• Plans for a major disruption where equipment and communication infrastructure are available to continue the business of the company.

Business Continuity Plan (BCP) Contents

Section I – Plan Overview and Contact Information
1. Plan Summary
2. Plan Approval
3. BCP Leadership Roles and Responsibilities
4. Internal Contact Information
5. External Contact Information (Customers)
6. External Contact Information (Suppliers and Business Service Providers)
7. Utilities and Facilities Services
8. Financial Services Contact Information
9. Regulatory Agency Contact Information
10. Critical Records and Systems
11. Backup Locations
12. Backup Service Provider and Supplier Information
13. Emergency Services Contact Information
Section II – Business Risk Assessment and Impact Evaluation
14. Business Process Risk Evaluation
15. Business Process Disruption Impact Evaluation
Section III – Pre-Emergency Planning
16. Risk Mitigation
17. Emergency Materials and Supplies
Section IV – BCP Plan Activation and Implementation
18. Plan Activation
19. Plan Implementation
Section V – BCP Plan Deactivation and Restoration of Normal Operations
20. BCP Plan Deactivation
21. Return to Normal Operations
Section VI – BCP Plan Testing
Section VII – BCP Plan Maintenance
Section VIII – Appendices / Attachments

Phase X – Milestone Driven Planning

This process model consists of four high-level milestones as represented in the following diagram.

1. Vision/Scope Approved milestone
2. Functional Specification Approved milestone
3. Code Complete milestone
4. Release of Product milestone

Phase XI – Alignment – Strategy and Execution

Aligning key initiatives and risks in accomplishing each goal and its defined overall corporate strategy will result in a better managed enterprise that performs more effectively, as well as set forth the interrelationship between Initiatives and Strategic Goals.

Phase XII – Form an Advisory Board
An effective advisory board properly composed and structured, can provide non-binding but informed guidance and serve as a tremendous ally in the quest for superior corporate governance. Be sure to check the laws of your state, as sometimes an advisory board member can be held to the same standard and have the same liability as a board member.

Have a question on valuations? Contact Michael Gilburd.

View Part I Of eBook Series

View Part II Of eBook Series

View Part III Of eBook Series

View Part IV Of eBook Series

View Part V Of eBook Series

View Part VI Of eBook Series

View Part VII Of eBook Series

View Part VIII Of eBook Series

View Part IX Of eBook Series

View Part X Of eBook Series

Michael Gilburd

Michael Gilburd, President of ValuCorp International, Inc., has more than forty years of experience in financial transactional services and corporate development.Founded in 1999 by Mr. Gilburd, ValuCorp is a national firm offering expert business valuation services and consulting of creating, improving and preserving value, capital markets and corporate finance advisory, transaction and fairness opinions, restructuring advisory, and management consulting. While serving many industries, ValuCorp specializes in financial institutions, healthcare companies, manufacturing and distribution, professional service firms, energy companies, construction, real estate ventures, and consumer product companies.

Prior to ValuCorp, Mr. Gilburd was:
• Managing Director of corporate finance for two American Express companies, where he assisted in raising funds for various transactions, including acquisitions and public offerings.
• National Director of Corporate Finance for BDO USA, one of the nation’s largest accounting and consulting firms, and a member of their International Corporate Finance Committee.
• Internal Revenue Agent, Manhattan District, New York

Mr. Gilburd has authored many Business Valuations, Family Limited Partnership Valuations and Loan Packages for private and confidential transactions and settlements.

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