Competitive Advantage Marketing, Inc. (CAM) is pleased to introduce the addition of science to the art of “good will” evaluation for mergers and acquisitions.
While the concept of “good will” figures in every business sale, its evaluation has traditionally been based on a qualitative approach – an approach at once subjective and open to dispute.
“Good will” is a complex intangible. It is a combination of corporate name recognition, market perception of the company’s competitive positioning, and customer satisfaction; and each of these variables can be markedly different when viewed by product line, market segment, geography, and other factors critical to a specific business.
Competitive Advantage Marketing has developed a model – based on proven market research techniques – to measure the elements of good will. The CAM Good Will Valuation Model™ analyzes the critical factors, weighs them based on real-world determinations of significance, and produces a tangible, measurable “Good Will Valuation Quotient.”™ And the CAM Model can deliver granularity down to the market segment, product line, geographic region level, etc.
The CAM Good Will Valuation Model™ is the result of more than 30 years of hands-on research experience allied with decades of real-world business experience. It is designed to be a practical addition to the due diligence tool set and to provide hard data for substantiating claims of “good will.”
If you are planning on acquiring a company, or are negotiating to be acquired, please call me to discuss how the CAM Good Will Valuation Model™ can assist you in getting the bottom-line numbers right.