James Waters

Negotiation prep is about power, not just price. Excited for the actual talks. Owners prepping a sale: What's one negotiation tip that's saved you? Let's discuss. #SMB

Discovery #4: Advisor leverage. Brought in a neutral third-party for mock negotiations. Uncovered weak spots in his pitch. Pro tip: Practice like it's the Super Bowl—role-play objections.

Discoveries During Negotiation Prep

DCF isn’t just for investors — it’s a powerful decision tool for owners deciding on hiring, debt, acquisitions, or exit timing. It forces clarity on assumptions and risk. More valuation discoveries coming! What’s one decision DCF (or any valuation model) helped you make? Reply below or DM — happy to chat. #BusinessStrategy #FounderLife

Discovery #4: Terminal value dominates. For a growing business, 70-80% of DCF value came from the perpetuity period after year 5. Tiny changes in growth rate (3% vs 5%) swung his valuation by millions. How sensitive is your business to long-term growth?

Discoveries on DCF for Business Owners: Helping my friend really understand DCF (Discounted Cash Flow) has been eye-opening. He thought valuations were just “multiples,” but DCF completely changed how he views big decisions. Thread on the biggest discoveries so far. #SMBGrowth

Intro to valuations is eye-opening—it's about strategy, not just math. More as we explore models. What's your biggest valuation question? Reply below. #Entrepreneurship

Discovery #4: Holistic view needed. Valuation isn't one number; it's layers (profits, cash, assets). This shifted his mindset from "what's it worth now" to "how can I build more value?"

Discovery #3: Time value of money. He ignored future projections—focusing only on today. We sketched basic forecasts, showing how growth compounds value over 3-5 years.

Discovery #2: Market context matters. Without comparing to industry peers, his self-assessment was off by 20%. Lesson: Benchmarks reveal if you're undervalued or overoptimistic.

Just started helping a friend dive into valuation models for his SMB. He's prepping for growth decisions, and the discoveries are already piling up—turns out, truly understanding your business's value changes everything. Thread on real-time insights. #SMBGrowth

Discovery #1: Surface-level assumptions. He thought revenue alone told the story, but we uncovered how expenses and assets skew the picture. Quick audit showed his true profitability was 15% higher than he realized.

Discoveries Introducing Valuation Basics