Findings from the Private Company Valuation Working Group

Level: Intermediate

Findings from the Private Company Valuation Working Group

Presenters:
John Hermans, Director, Advancement Research, University of Toronto

Session Description:
This presentation will follow up on John’s 2010 presentation on Private Company Valuation, and will report the findings of the Private Company Valuation Working Group. It will focus on answering several key questions around the practice of valuation in prospect research:

  • What method(s) do Canadian prospect researchers employ to conduct private company valuations?
  • How successful have these method(s) been, and what difficulties have been encountered?
  • How simple or complex does a valuation need to be to in order to deliver meaningful information and guidance to Development Officers?
  • Is private company valuation used for the generation of wealth indicators, for proactive prospect identification, or both?
  • What are the best resources for accurate figures of private company revenues, and other basic financial information?
  • Once we arrive at the total valuation for a company, how much can we safely attribute to the founder/owner as their equity interest?

Highlights:

  • Valuation methods that work best for Canadian prospect researchers.
  • How private company valuation is used in Canadian prospect research and can best be used to support Development Officers.

Presenters:
John Hermans
has worked in prospect research for more than 14 years. He began his career at the Hospital for Sick Children Foundation in Toronto. He has been Director of Advancement Research at the University of Toronto since January 2011, was Manager since 2003, and was previously Assistant Manager of the department, and currently provides research support for the University of Toronto’s $2 billion Boundless Campaign. He is a member of APRA-Canada and is Sponsorship Lead for the APRA-Canada 2012 national conference. John holds an Honours BA from McMaster University and a Masters Degree in Information Studies from the University of Toronto.

Comments