Hinge Incorporated Releases
New Valuation Study
Comprehensive research offers advice for businesses to maximize firm value
RESTON, Va. – Oct. 17, 2008 – Hinge Incorporated, a strategy and branding firm focused on the professional services marketplace, today released results from its research study “Top Dollar – How to achieve a Premium Valuation for your Professional services Firm.” The national survey sought out best practices for maximizing firm value from 21 representatives of two key groups—valuation experts and companies that acquire professional services as part of their regular business practices.
Research Director and Managing Partner of Strategy, Lee Frederiksen, Ph.D., believes this new data can help professional services firms and technology companies better understand what characteristics experts look for when evaluating a potential acquisition.
“With the recent economic climate on the minds of every business person, it is important to focus on the strategic factors that improve corporate value,” stated Frederiksen. “As companies plan for 2009, this analysis should help provide strategic direction.”
Professional services industries covered in the study include IT service firms, accounting and financial services firms, architecture, engineering and construction companies, management consulting firms and government contractors. In today’s economic climate, these firms are feeling increased competitive pressure, so it is imperative these companies understand which factors are most influential in building a thriving and valuable firm.
Key findings include:
- Past financial performance, as reflected in historic growth or the strength of the balance sheet, has less bearing on valuation than one might think. Projected growth rate – backed by a solid plan for execution – is far more important.
- Employee retention is not as much of a differentiator as one might think. Unless employee retention is overtly poor, the employee base is seen as a given rather than as a differentiator.
- Study respondents emphasized the importance of strategic growth. Growth without strategy actually limits a firm’s value.
- Overall, the strength of client relationships is the single most influential factor.
To find out more about the top factors in building valuation, download a complimentary copy of “Top Dollar – How to Achieve a Premium Valuation for Your Professional Services Firm” at
http://www.pivotalbrands.com/resources/surveys/topdollar.html.
About Hinge Incorporated
Founded in 2002, Hinge Incorporated provides revenue-increasing marketing strategies and award-winning brand design to professional services firms. From strategic analysis and assessment to market research and strategy development, Hinge helps clients build highly competitive brands. With a specialty in accounting, architecture, engineering, information technology, management consulting and government contracting firms, Hinge has built an expertise in finding and marketing the competitive advantage in any professional services business. The firm’s work has been featured in magazines and trade publications and has won four “M Awards” from the Washington, DC chapter of the American Marketing Association. Because of their ongoing volunteer and pro-bono efforts, Hinge has won several community leadership awards and honors, including a commendation from the Virginia State Senate. Learn more about Hinge at www.pivotalbrands.com.
Contact: Jamie Nolan, SpeakerBox Communications for Hinge
Email: jnolan@speakerboxpr.com
Phone: 703-287-7815
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