The Value of Key People

The value of key people has been coming up more and more in Business Valuations and deal structure this year.  How do you know what your team is worth?  That’s a good question.  Employment Agreements are becoming very important to buyers when the language addresses non-recruitment and protection of company assets, including confidentiality. Due to the fact that workforce shortages are everywhere, this tool is one you don’t want to overlook.  For the second half of 2022 and all of 2023, we will likely be looking at higher interest rates and credit tightening, which will affect liquidity for owners. This is one of the reasons why we’re seeing so much M & A activity right now.