Our ThruThink Evaluation® service provides an evaluation of the proposed performance of a Company or "Deal" as presented by the User Inputs.
This includes a summary of Net Income, Cash Flow, Debt Level and acceptability of Return as well as other factors with easy to understand explanations and graphical representations to provide a quick picture of "What's going on".
In addition, our ThruThink Deal Score® service is an optional part of the ThruThink Evaluation® service (the User may turn it on or off) and provides a calculated total overall summary score or rating based on the User inputs.
The ThruThink Evaluation® service evaluates proposed business transactions that involve the purchase, sale, valuation, debt analysis or equity analysis of a business using proprietary calculations from user inputs for the business's past performance, existing financial condition and projected future performance. These factors along with the specific debt, equity structure and Owner Draw requirements will address the ultimate performance measure of the Company or "Deal", "Does it Make Sense".
Our ThruThink Evaluation® service begins where an operational budget ends. The Users Operational Budget is best used as a basis for the ThruThink® inputs, however the User can decide on these inputs as they are entered.
There is a historical worksheet feature in ThruThink® that the User can utilize to analyze historical sales and operating expenses that will clarify the most useful numbers to use for the ThruThink® Inputs. This historical information is also used as an evaluation factor in the ThruThink Deal Score®.
With the proper information provided, the process will illustrate risks of running short of funds in future periods, which will then be feedback information to adjust the business purchase price, terms, debt, equity and or business operations prior to unexpected cash shortage occurrences and/or the eventual unsatisfactory profit and equity performance.