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ironically had been founded by Steve Jobs, Apple Computer s founder and current CEO Therefore, what was the value of Be, Inc, in 1996 It was an amount between $100 million and $285 million And what happened to Be, Inc In September 2001, Nasdaq regulators told the company that they were delisting it for failing to maintain a minimum bid price of at least a dollar for 30 consecutive days Be, Inc s shares were trading for about 14 cents That same month, Be, Inc, announced that it would sell its remaining assets and technology to Palm Inc for $11 million This overvaluation experience taught Gass e the valuable lesson that all entrepreneurs must learn: pigs get fat and hogs get slaughtered He could have been a nice fat happy pig by accepting the $100 million Instead, he got greedy, a common trait of hogs, and got nothing Despite the fact that business valuation is not an exact science, entrepreneurs should determine a value for their company at least once a year This process must not intimidate them As has been repeatedly stated throughout this book, it is not brain surgery In fact, it can be rather simple, and almost everyone can do it What is the reason for performing an annual valuation of a company There are many If the entrepreneur does not determine the value of his company, then someone else will, and the entrepreneur will not be happy with the result For example, if the entrepreneur is selling his business and relies entirely on a prospective buyer to determine its worth, the buyer will certainly look out for her own interests and price it low The entrepreneur must, therefore, look out for his own best interests by establishing a price that he is comfortable with, using logical and acceptable valuation methods Which methods are correct As you will see later in this chapter, all of them Valuation involves estimating the worth or price of a company Different industries use different methods to determine this value Some industries use complicated quantitative models, while others use relatively simple approaches Regardless of the methodology used, however, the valuation of a business incorporates not only a financial analysis of the company, but also a subjective assessment of other factors that may be difficult to quantify, including:.



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Private sector companies have focused their communications and computer systems protection efforts on securing systems from intrusion, misuse, fraud, and abuse This is certainly a logical approach given the overall social and political context in which the majority of corporate systems have been developed Over the last two to three decades there has been an expectation that large massive wars would not occur This has held true with few exceptions However, victory in the Gulf War has also helped to foster a sense of military superiority and security prevails in the NATO alliance and the United States Although these social political conditions are favorable, it is dangerous to assume that they will continue to exist and that peace will prevail

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Ultimately, the value of a company is driven by the present and projected cash flows, which are affected by all the factors just mentioned As Bill Sutter, a former venture capitalist, said to a class of MBA students, Where does value come from Cash flow It does not come from assets or revenues It comes from cash flow VALUING THE CLARK COMPANY At the beginning of this chapter, I shared the story about the owner whose selling price had more to do with his wife s threats than with any fancy formula The company is called the Clark Company, and it is worth examining in a bit more detail As we discussed in 5, the Clark Company had 2007 revenues of about $113,000 The cash flow that the business generated was an astonishing $45,000, or 39 percent of revenues This was calculated after scrutinizing the income statement and asking questions of the seller Remember, the starting point for calculating cash flow is net profit plus depreciation plus any other noncash item expenditures In this case, we add the $16,000 in net profit and the $835 for depreciation Cash flow calculations will often also include discretionary expenses that the new owners of the business would not incur if they were to acquire the company For Clark Company, the additional add-backs include wages, which were in fact wages ($12,215) being paid to the owner s spouse The $8,965 allocated for office expenses were in reality personal expenditures that the owner was running through the company for a new car that his wife drove In addition, as the owner of the business also owned the building that the business was renting, he was in effect renting the building to himself The company was paying about $7,000 more than market value for the rent for this building Net income plus Depreciation plus Excess wages $16,000 $835 $12,215.

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Open PDF file from Byte array | The ASP.NET Forums
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When the demographics of systems developers and managers are examined, it is clear that the majority of IT professionals entered the profession, and many began their lives, in a post-cold-war environment They do not expect war and they are not prepared for war This is in contrast to the 1940s when war was a reality, and the 1950s and 1960s when war and potential nuclear destruction presented a scenario people were familiar with If war had occurred in those times, nobody would have been surprised Military decisions and even business strategies were developed with the assumption that there was going to be more massive war and that there were enemy forces waiting for the opportunity to conquer the world using any means at their disposal The relative peace of the last 40 years has been a welcome social condition, but it has also led to a complacent attitude toward the preparation for war This chapter covers information warfare from a cooperate perspective Preparation and planning for information warfare are examined along with guidelines for responding to information warfare attacks

$8,965 $7,000 $45,015

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Open (View) PDF Files on Browser in ASP.Net using C# and VB.Net
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