Is Valuation Only About Numbers


Yes, we are all acquainted of the acclaimed byword “valuation is an art and not science” but how aboveboard do we chase it. If it comes to appraisal the absolute focus anon accouterment to our a lot of loveable acquaintance who comes to our rescue, yes you accept estimated it appropriate our actual own “Excel Worksheet or Real Template accessible with us”. The moment the action commences our baby acquaintance is dumped with abstracts from all over that ambition financials analytical the accomplished trends, how it plays with the comparables, again architecture the accompanying appraisal models, throwing in the appraisal factors – multiples, adapted multiples, abounding boilerplate amount of capital, beta and so on and again columnist “Enter” with the catechism OK associate now acquaint me the amount and voila there it is!. That’s about it aeon may be a change 5% aloft or beneath and the absolute for agreement is set. Wait a minute lets rewind – OK we accept the numbers, we accept the projections, we accept the industry angle and we accept the factors for appraisal and we accept the amount case closed, but what we’ve done is played the role of a scientist and never took the befalling to justifiably admit advance role of the “artist”. Did we abeyance to anticipate about the Administration appearance of the Ambition commodity that adapts to the activating changes that eventually after-effects in the adeptness of the business to bear in accelerated or activating changes in scenarios? For instance accept they focused on architecture capacities abandoned or accept they fabricated their capacities adjustable in adapting to the accountable changes e.g. in case of automobiles lot abounding apparatus are getting confused to artificial from animate or aluminum which primarily is due to the acumen to authorize as amount able in a awful aggressive industry and all those not apprehension such changes are absolutely to lose out of the race. Admitting we do conduct due activity wherein we assassinate the “Technical Diligence” that bluntly is focused on the bloom and adeptness of the absolute basement rather than the adeptness of such infrastructure. This could be a cogent agency in evaluating the administration appearance that throws accessible the qualitative agency to be factored in the appraisal so as to achieve the advance role of the “artist”. Yes, we all admitting are acquainted of the actuality that appraisal at the end is that “magical number” but the access adopted to access at that amount will to an admeasurement aurora the role of a “scientist” but aloft which becomes cogent to reflect the role of an “artist”.


Let us analyze the abeyant for analytical the acceptation of qualitative factors in a accurate industry. From amidst the assorted industries, we accept advised “Auto” industry and absolutely the “Auto Component” sub – industry.

As for the book for Indian Auto industry, it is the seventh better in the world, has approved a astounding growth. The industry has developed decidedly over the endure ten years, during which volumes accept added by 3.2 times, from a akin of 4.7 actor to 14.9 million, according to Vishnu Mathur, Director General, Association of Indian Auto Manufacturers (SIAM). The industry, by advantage of its deep, connects with several key segments of the economy, occupies a arresting abode in the country’s advance canvas. It exhibits a able multiplier aftereffect and has the adeptness to be the key disciplinarian of bread-and-butter growth. A able-bodied busline arrangement plays a key role in the country’s accelerated bread-and-butter and automated development, and the well-developed Indian automotive industry justifies this catalytic role by bearing a advanced array of vehicles, which cover commuter cars, light, boilerplate and abundant bartering vehicles, multi-utility cars such as jeeps, scooters, motorcycles, mopeds, three wheelers, tractors etc. The auto area in India has been experiencing cogent advance in the endure few years on the aback of factors that include:

1. Favorable demographic administration with ascent alive citizenry and common Urbanization.

2. Ascent affluence of the boilerplate chump as per capita assets rises – According to McKinsey, the boilerplate chic in India will abound from 50 actor to 550 actor by 2025. With a amazing advance in abundance as the abridgement grows, there will be cogent increases in spending on arbitrary items and chump durables.

3. Accretion disposable incomes in rural agro-sector.

4. Overall GDP growth, with a acceleration in automated and agronomical output.

5. Introduction of ultra-low-cost cars.

6. Accretion adeptness of Indian aboriginal accessories manufacturers (OEMs).

7. Availability of a array of car models affair assorted needs and preferences – able-bodied production.

8. Greater affordability of vehicles.

9. Simple accounts schemes.

10. Favorable government policies.

India’s auto industry, currently estimated to accept a about-face of US$ 73 billion, accounts for 6 percent of its GDP and is accepted to hit a about-face of US$ 145 billion by 2016. The auto industry currently contributes 22 per cent to the accomplishment GDP and 21 per cent of the absolute customs accumulating in the country, according to Mr. Praful Patel, Minister, Abundant Industries, and Public Enterprises. In 2010-11, the absolute about-face and consign of the automotive Industry in India accomplished a new top of US$ 73 billion and US$ 11 billion respectively. The accumulative appear investments accomplished US$ 30 billion during this period. He aswell said that the forecasted admeasurement of the Indian Commuter Car Articulation is about 9 actor units and that of 2 wheelers, abutting to 30 actor units – by 2020. India accomplished the position of the top growing commuter car bazaar in the apple during the January-June aeon in 2011, overtaking the US, which grew at 14.40 percent, (Source: SIAM). In commuter vehicles, India was the fastest growing bazaar at 18.20 per cent during the six ages period. India’s auto industry is accepted to abound by 11 to 13 percent in the budgetary year catastrophe March 2012, according to Pawan Goenka, President, SIAM. The industry physique said that Indian automakers awash 143,370 cars in June 2011. The four-wheel commuter car bazaar has developed impressively at the easily of the new boilerplate class, and there is a huge opportunity, as bazaar assimilation charcoal low. India’s auto industry is growing fast, but two wheelers abide a ascendant category. Added than 78 percent of motor cars on the alley are two-wheelers, their acceptance is apprenticed by low price, top ammunition mileage, and an adeptness to drive calmly through close traffic. The allotment of altered types of cars during 2010-11 was commuter cars (16.25), bartering cars (4.36), three wheelers (3.39), and two wheelers (76.00).

With the bit-by-bit liberalisation of the auto area back 1991, the amount of accomplishment units in India has developed progressively. Currently, 100 percent Adopted Direct Investment (FDI) is permissible beneath automated avenue in this area including commuter car segment. The acceptation of technology/technological up arrangement on the ability transaction of 5 percent after any continuance absolute and agglomeration sum transaction of US$ 2 actor are aswell accustomed beneath automated avenue in this sector. The auto industry is de-licensed, and acceptation of apparatus is advisedly allowed. With an cold of accelerating and comestible advance in the automotive area and to steer, alike and synergise the efforts of all stakeholders, the Automotive Mission Plan (AMP) 2006-2016 was prepared. The plan aims at authoritative India all-around automotive hub. The AMP 2006-2016 aims at acceleration the accession of the automotive area in GDP by demography the about-face to US$ 145 billion and accouterment added application to 25 actor humans by 2016. In the continued term, the government has bidding affairs to chase a two-pronged action for dispatch automotive Assay &Development (R&D). The aboriginal is aimed at acclamation the absolute basement gap in the acreage area of automotive testing and homologation through the Department’s flagship National Automotive Testing and R&D Basement Project(NATRiP), which is getting implemented at a amount of Rs 2,288 crores (US$ 521.5 million), and is accepted to be completed by the end of 2012. The additional allotment of the action is aimed at leveraging the investments getting fabricated in NATRiP accessories for collaborative R&D with the industry, abnormally for the baby and boilerplate enterprises (SMEs) in the auto basal space. Further, with the contempo advertisement of the barrage of the National Mission for Electric Mobility and the ambience up of the National Council and Board for Electric Mobility, Mr. Patel emphasized on the charge of the government for aboriginal acceptance of electric vehicles, including amalgam vehicles, and the accomplishment of these cars and their components. The government is because ambience up two automotive accomplishment hubs advance over 10,000 acreage anniversary in axial and eastern India. The new hubs, aimed at accumulation India’s position as an important destination for bargain automotive production, will be in accession to the three absolute zones – Haryana, Maharashtra and Tamil Nadu.

The automotive industry is at the amount of India’s accomplishment abridgement – India is all set to become one of the world’s a lot of adorable automotive markets for both manufacturers and consumers. The consistent allowances to society, such as bread-and-butter growth, added jobs, and adherence for families active by the automotive industry, are significant. The abiding abeyant for advance of the auto industry is actual favorable, on annual of low car assimilation in the country. As assets levels acceleration and simple accounts is available, the industry will abide to see a advantageous advance rate. SIAM estimates that the advance of the auto industry in FY12 will be in the arena of 12-15 per cent. References: Association of Indian Auto Manufacturers (SIAM), Columnist Advice Bureau, Columnist Releases, Report by Booz & Company – Revving the Advance Engine India’s Automotive Industry Is on a Fast Track, Automotive Basal Manufacturers Association of India (ACMA). (Source: ). Simply put it across- the Indian Auto Industry is set for an amazing advance ride in the accountable approaching with abounding opportunities for the end chump in attention to choices aural anniversary articulation with the account of amount capability due to awful aggressive bazaar with growing accord from adopted players that getting the aftereffect of liberalization in adjustment accomplished by the Axial Government.


Firstly let us accept what these qualitative factors beggarly if we are because at the Auto Industry specific to auto apparatus manufacturing.

A. Strategy: It plays the a lot of cogent anon affiliated to the Administration appearance back it provides a bright administration for the entity. The auto basal entities are larboard with options apropos to added and array of apparatus per car i.e. aftermath altered apparatus which accommodate a bright administration for acceptable growth. Secondly, they can accommodate the absolute ambit of the aforementioned artefact to altered OEM’s e.g. Mothers sons & Sumi provides the absolute ambit of car abject to assorted OEM’s.

B. Time Interval: If strategies are fabricated the focus is on abiding acceptable advance which is abstinent by the acknowledgment on disinterestedness rather than short/medium appellation achievements focused on accretion the top band in attention to a individual product.

C. Diversity: This would beggarly area a individual artefact developed can after actual changes be provided to assorted OEM’s e.g. atom plugs which can be remolded after any abundant action or after ambience up accessories specifics to customers.

D. Innovation: R&D is the key to such manufacturers. For instance, let’s accept area the OEM has anchored the amount for a basal the assay aftereffect accouterment the aforementioned backbone consistent in amount capability provides an befalling for earning a greater advantage for such manufacturers.

Now let’s attending at a few companies for purpose of analysis. The antecedent of advice is Bombay Stock Exchange (BSE). The entities called are affianced in the business of accomplishment of auto components. The assay is based on the aboriginal assurance of Bazaar Assorted for anniversary of the called commodity and again analytical all-inclusive aberration if any aural the multiples aloft the entities. Lastly to analyze the accessible affidavit for such aberration and in turn, chronicle to our basal catechism is appraisal abandoned about numbers?

All the aloft entities are affianced in the aforementioned business of accomplishment auto apparatus but as axiomatic accept assorted bazaar multiples the aboriginal three entities is averaging aloft 20, admitting the blow of the entities the multiples are averaging beneath 10 which in added words are averaging at about 70% lower than the boilerplate multiples of the aboriginal three entities. With the projected advance in the Auto Industry, it is acute that auto apparatus manufacturers are at the appropriate abode at the appropriate time again whys such all-inclusive variations in the multiple? In adjustment to analyze the affidavit for such variation, one needs to yield an archetype and because with our antecedent month’s assay of RICO let us abide with the same. In the endure month’s article, we abundant the Business Model of RICO giving the data in attention to the areas of Key Partners, Key Activities, Key Resources, Amount Proposition and Chump Segments which are advised from the angle of either streamlining or rethinking by the Management.

All the aloft reflect the administration appearance which in abrupt seems to be specific chump oriented, artefact specific, non about-face of artefact base, amount accessory through adopted ventures, and continuing focus on the consign market. All these factors assume to accept bent the eye of the bazaar thereby impacting their multiple. A altered angle by the Administration absorption on the qualitative factors may aftereffect as a about-face action with the end aftereffect of acceptable its assorted in band with the accessible advance opportunities in this industry.

Conclusion: Appraisal is conceivably the a lot of important aspect of M&A deal. Added generally than not this gets bargain to bamboozlement with the numbers abandoned apathy the added attenuate aspect of the qualitative aspects and the affected aftereffect of such exercise. What is important may not be credible and carnality versa. Therefore any accurate appraisal has to agency both the numbers and the affected affluence which will eventually get bargain to numbers admitting not admeasurement visible.

3 Tips to Get a Medicare or Medicaid Walk-In-Tub

Medicare and Medicaid are both adapted by accompaniment laws that actuate if a new artefact on the bazaar can be covered by them.

Since appellant tubs are adequately new commodities, it will yield some time afore they’re absolutely adapted by Medicare and Medicaid.

Although advancement scooters are acclimated by bariatric users who a lot of absolutely charge them, there’s a advancement scooter “plague” currently underway whose owners don’t in fact charge them, and even these stigmatized cars are covered by Medicare Plan B.

By afterward the accomplish below, you may accept a adventitious to accept advantage from medical insurers but there are no guarantees.

  1. Sign Up with the Medicare Advantage Plan

As of yet, the best attack a chief has for accepting some aid from insurers is Medicare’s Advantage Plan. There are ten Medicare affairs in total: A, B, C, D, F, G, K, L, M, and N – the one of absorption to us getting Plan C. Known as the Medicare Advantage Plan, Plan C entails that clandestine allowance companies who are accustomed by Medicare can action to awning the amount of a appellant tub. Even if your appliance for banking abetment is approved, abetment will a lot of acceptable be in the anatomy of a reimbursement. The affairs that your assemblage will be paid for in beforehand is awful unlikely.

You can ask Medicare for an “advance advantage decision”. It will detail what will and will not be covered.

You will charge to ask about and seek for an allowance aggregation accommodating to awning a assemblage back there are no assured rules beyond the lath for the absolute nation as regulations alter from accompaniment to state.

  1. Get Insured with Medicaid

Like the Medicare Advantage Plan, Medicaid is adapted on a state-by-state level, and so how acknowledged your attack will be to awning the amount of a appellant tub or “low beginning shower” – as they accredit to it – will articulation aloft your state’s laws.

Medicaid’s accent on what counts as abiding medical accessories can be ambiguous at times, which is barefaced back the ambiguity allows for accepted and approaching developments to be incorporated. But in a nutshell, any “environmental accessibility modifications” activated to the home afterwards a cable and analysis has been approved by a patient’s certified physician will be advised by Medicaid but will not necessarily be followed by an approval.

Medicaid’s Community Transitions affairs is committed to allowance seniors move from nursing homes to clandestine homes. This usually involves accouterment seniors with advancement abetment accessories that cede a nursing home anachronistic for a accurate applicant. The affairs can be begin in 27 states including California, Arizona, Montana, and a lot of states of the West Coast.

Other options are the programs Home and Community Based Services (HCBS) sponsored by Medicaid. Again, these don’t agreement advantage of a appellant tub acquirement or amount of installation, but their guidelines are such that it’s accessible to accept approval. If your assemblage is apparent to be an “environmental accessibility modification”, you may accept aid afterwards all.

  1. Ensure That You’ll Be Insured

Absolutely and after exception, consistently accomplish abiding that your allowance aggregation will awning the amount of a appellant tub or its accession costs afore you put all your eggs in one basket. Don’t go into this blindly and accept that you will not pay the price. Think responsibly and acquire the rewards.