Maximizing Value Calle Johnson, PwC Deals Simran Kang, PwC High Net Worth
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Maximizing Value Calle Johnson, PwC Deals Simran Kang, PwC High Net Worth
Maximizing Value Calle Johnson, PwC Deals Simran Kang, PwC High Net Worth Our version of Elbert Hubbard’s quote on life “Since no one is getting out of it alive.......you might as well maximize your value while you are here" PricewaterhouseCoopers LLP 2 Business transition How many Canadian business owners will transition control of their business in the next 5 years? 30%, or 310,000 Source: Inadequate Business Succession Planning— A Growing Macroeconomic Risk. CIBC In Focus Driven by changing demographics BC Population by Age Group 1971 – 2.2 million 2015 – 4.7 million 0 to 4 5 to 9 10 to 14 15 to 19 20 to 24 25 to 29 30 to 34 35 to 39 40 to 44 45 to 49 50 to 54 55 to 59 23% 60 to 64 65 to 69 70 to 74 75 to 79 80 to 84 85 to 89 90+ Source: BC Stats, CFIB, PwC Analysis 39% PwC Family Business Survey How many Canadian family businesses are planning to sell their business within the next five years? Over ¼ of Canadian Family Business Survey respondents plan to sell to a third party As a business owner do you know…. …the value of your family wealth? …the value of your business? Are you prepared…. Business v.s. personal goodwill Are you familiar with your buyer landscape? Tax planning? What market dynamics are you facing? Do you know your value drivers? Timing? Always be at the peak of your value Take advantage of being a Private Company Private Companies can be agile and proactive in order to maximize value Thank you.