Expert Insights: Partner Tom Brooks on Business Valuation
November 10, 2026
Watch our interview with Partner Tom Brooks as he discusses business valuation and how business owners can prepare well before an exit or transaction arises.
Read the Transcript
[Tom Brooks]
00:00:03
I think in the sense of valuation, where business valuation matters, having done this now for over 30 years, I’ve seen many business owners really start thinking about valuation when the exit’s imminent or there’s a transaction of some type.
00:00:18
The most common type of work that we do here at Moore Colson is what we would term for estate planning and gift tax purposes. What you’re working on is then generational planning for inside the business, from transitioning the business from gen one, gen two, whoever down the line to future generations.
00:00:36
I would say the other area that we do a lot of work on is what we’ve alluded to already, is some of that exit planning. I always say that typically the owner gets what I call the phone call. They’re not for sale, but then all of a sudden the phone rings, and they’re like, “Well, wait a second. Maybe I am based on the numbers that somebody’s throwing out.”
00:00:55
I think a lot of times when we talk with business owners for the first time when we’re introduced to them, I think they frequently think it’s just a black box, that we just send you some financials, and poof, out comes this valuation, and that’s not the case at all.
00:01:11
A lot of information is required of our clients. Our data request is not like what you would get in a due diligence request for if you were selling your business, but many are like, “Wow, that’s a lot of information.” And then there’s a lot of thought and a lot of assumptions that go into our model that aren’t just black and white in terms of the numbers we’ve been given.
00:01:32
So in terms of valuation being important now more than ever, it’s just, again, being prepared and being on the tip of the spear and talking with your team of advisors if you are thinking that you may be for sale, working not only with us and starting, though, with your other professional advisors, having them help you to begin to have those conversations.
Disclaimer: This content is provided for informational purposes only and reflects information available as of the date of publication. It does not constitute legal, tax, accounting, or other professional advice. Please consult a qualified professional before taking action based on this content.
