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A “number” without judgment can cost you real money. Thoughtful valuations do four things well: (1) start from the business model, (2) normalize with evidence, (3) use comparables you can defend, and (4) translate risks into the math. The outcome is a Possible Value range you can explain to a buyer, a lender, or a judge. Method clarity Cash mechanics drive method. If the story is recurring revenue and durable contracts, income methods with well-supported growth and discount assumptions may lead. If the story is asset intensity or replacement economics, an asset approach may dominate. If market data are thin or volatile, the market method needs visible adjustments—not blind averages. Evidence-based normalizations Owner pay, personal expenses, and one-offs should be corroborated with bank/credit flows and tax filings. Seasonality and timing effects should be spelled out. Cleaner earnings equal stronger credibility. Comparable set quality Pick peers with similar size, margin, growth, capital intensity, and cash conversion. Cut outliers. Adjust the multiple for growth and durability, not just industry. Explain why the comp set is fit for purpose. Risks priced, not parked Key-person, customer concentration, property treatment, supplier dependence, data quality—if it matters, it belongs in discount/cap rates, multiples, or explicit sensitivities. Buyers and courts are persuaded by math tied to facts. Deliver a range, not a mystery Triangulate income, market, and (where relevant) asset views. Assign weights consistent with cash stability and transferability. Report a Possible Value range (low/central/high) and show how information quality affects that band. Call to action Ask for my one-page Second Opinion brief at sanjay@sankulinc.com—helpful when you want a quick risk-to-numbers review before you commit to a full report. About Sanjay: Sanjay Kulkarni, CBV, CFA, CPA (CA-I), C.Dir, is a Toronto-based Chartered Business Valuator and Fractional CFO with 25+ years of experience helping privately owned businesses, PE/VC, and family-law matters across Canada. Email: sanjay@sankulinc.com · Sites: SankulInc.com | BusinessValueGrowth.com © 2025 Sankul Enterprises Inc. All rights reserved. This material is for general information only and is not legal, tax, accounting, or investment advice; no client relationship is formed unless engaged in writing. Do not reproduce or distribute without permission; examples are illustrative and outcomes may vary.