Value Maritime Business
Value maritime business – Are you looking to sell your marine business?
We give you a checklist of items we need such as financials, tax returns, contracts, vessels and descriptions, other assets, properties, vessel repair receipts, etc. Furthermore, did you have any vessel rebuilds and what are the dates of the rebuilds? Did you refurbish any of your vessels? Value maritime business.
Are vessels Subchapter M compliant?
Routine Maintenance | Value maritime business:
More importantly, what kind of maintenance logs have you kept? Notably, what kind of routine and non-routine maintenance has been performed on any of your vessels? Also, what are the engine hours since overhauls? How often do you perform routine maintenance?
Non-routine Maintenance | Value maritime business:
Even more specifically, were there extensive rebuilds, main engine replacements, propeller, tail shaft, cutlass bearing, rudder and gearbox work; machinery and systems renewal, interior renewal and hull plating renewal. Also, do you have any UTV ultrasonic thickness gauge readings of the vessels hauls?
What kind of navigational systems do they have? Are they dated? What kind of safety equipment are they equipped with? Furthermore, do you have experienced crews to run them and equally important, what kind of tenure do they have? Value maritime business
Additionally, we evaluate your revenues to determine your net operating income and we use a multiplier of NOI to determine your value. Subsequently, we evaluate your contracts for terms, annual revenues derived from each contract, what the utilization as far as billable days and the concentration of risk associated to each contract.
Although these items are the main contributors, we still have not fully answered the question on how do you value a business. Other factors to be addressed are outstanding loans and debt, the current market situation and economy, as well as the reputation of your company. How to value maritime business.