Discount of future flows
Free Cash Flow
Discount rate: Weighted Average Cost of Capital (“WACC”) of each period
What do we offer?
Financial Model carried out in Excel, with respect to the historical analysis and Inactivity Projection
Financial Statements of Account presented to 13 years and perpetual annuity of:
Balance
Statement of Earning
Free Cash Flow
Shareholders’ Cash Flow
EVA
Earnings Before Interests, Taxes, Depreciation and Amortization (“EBITDA”)
Return of Investment (“ROI”)
WACC
Overall Financial Policy
Financial Indicators
Performance of Value Generators
Risk Qualification –Sector–Company –Investment
Value Estimate by means of Discounted Free Cash Flow to Firm (“DFCFF”)
Some variables that Model includes are as follows:
The environment and the sector
Regulations
Competence
Facilities
The offered products
Users
Market growth
Demand (trend, elasticity)
Costs and prices
Investments
Economic indicators
Financing
Success critical factors, risks
Technical aspects
Risk analysis at Crystall Ball
The valuation model will take the inactivity performance and will present it according to the models that have been developed by GARCÍA IGUARAN ASOCIADOS.
Customer’s commitment
To timely provide the required data and information:
The last three-year financial statements
Appraisals
Customers’ Performance
Product Basket
Checklist of Machinery and Equipment
Payroll
Indebtedness Report
Checklist of Intangibles
To arrange for the time expenditure of the executives responsible for primary functions, according to the work schedule; which schedule must be attached to the contract.
