Business Advisory Service

The value of a business is crucial when it comes to buying or selling a company. Knowing the value of an existing firm is also important, especially for startups, where it becomes mandatory to determine their valuation after a year or two. For established businesses, determining the value not only reveals its current worth but also assists in closing any gaps that exist and ensuring its enormous value in the future.

There are specific methods used in the business valuation process to evaluate a company’s value. The four main methods of business valuation in Dubai are

• 1. Asset-based method: Assets based method includes book value method, Liquidation value method, and replacement value method.
• 2. Market-based method: Market based method includes comparable company market multiplies method, comparable transactions method and market value method (for quoted securities).
• 3. Income-based or discounted cash flow method: This method includes capitalization of earning method and discounted free cash flow method.
• 4. Other method: Other method includes contingent claim valuation, price of recent investment method and Rule of thumb.

Business valuation is essential for investors to improve their understanding of a company’s assets, selling worth, true value, bad debt accounting, and to settle shareholder disputes. It also simplifies litigation, company reorganization, mergers and acquisitions, cash flow and forecasts, and investor outreach.
Comparing a firm to the market strengthens it from all sides and ensures it can survive the changing business climate. AAYU Management is one of the top business valuation firms in UAE that can help business owners go forward in the valuation process and understand the importance of measuring and comparing current steps to previous ones to determine if they are on the right track.

AAYU Management business consultancy in UAE can enable you to accomplish your business objectives. New companies frequently confront many difficulties during their initial phases of establishment. Expertise consultation within their budgetary activities helps them to get overcome from such difficulties. We offer customized budgeting, forecasting, accounting and implementation services that meet the actual needs of the business entrepreneurs.

Business consultancy services enables the entrepreneurs to make the constructive decisions. We suggest them with business models, investment required, business budgets and financial estimates. We have helped numerous organizations increase better performance over their financial operations, expand into new markets, outsource business processes and succeed in long run.

Investment Consultants advise their clients, which can include Asset Owners, Fund Managers, and Trustees, on which funds, asset classes, and countries to invest in as a part of the investment and asset allocation strategy and portfolio construction process. Additionally, investment consultants can advise on manager selection, researching investment managers, and coordinating the selection process. An investment consultant’s work is largely centered around their clients and often results in long-lasting relationships. With their depth knowledge of investment theory and practice, financial markets, and the evolving demands of industry business models, they help their clients reach their financial goals, whether that goal is to develop an investment strategy for an individual or maintain portfolios for a large corporation.

Well, AAYU Management is here for you! As a top investment consultancy firm UAE, we can assist you with your business plan, and business techniques, and ensure financial security. We will assess your company to identify outstanding financial solutions that contribute to its growth. As a result, you will have a solid business that can face challenges and overcome them.

We are proud of our team of financial experts that will support you with financial planning, investment management, wealth management, and corporate investment inside UAE and all other potential countries where you can invest and maximize your returns. We understand every client is different, consequently, we begin with a detailed understanding of your unique needs and provide a highly personalized approach.

A financial feasibility study is the assessment of the business plan to determine its viability. A feasibility study is an objective analysis based on actual and credible statistics. The feasibility study is the first step to a successful business to determine whether the business plan will bring in the necessary cash flow, thus contributing to the stability of the business.

As a leading business advisory firm in Dubai UAE, the areas we focus on while doing a financial feasibility study area are:

• 1. Market Health: The internal and external market conditions are studied in this phase. The prevailing and future market conditions are analyzed, the dominant players are identified, and their strength and weakness are identified to bridge the gap. The product or the service being introduced is compared to the existing products or service, distinguishing features that creates an edge over the existing product is understood and whether it solves any ‘need’ of the market is analyzed. The representatives of the target customers is studied, delivery channels are identified and value propositions to the customers are determined in this initial phase.
  Some activities performed during this phase are outlined below:
  • a. Field Research: Personal Interview, Telephone Interview, Surveys
  • b. Desk Research Internal Sources: Personal Interview, Telephone Interview, Surveys
  • c. Online Research:Search engines, Newspapers, Other database online
  • d. Printed Research: Business statistics, Industrial market research report, Business directories
  • e. Other Market Analysis: Market Trend, Market Segment, Targeted Customers, Target Market Analysis, Pricing Strategy, Competitive Conditions
• 2. Financial Aspects:The start-up cost, operating cost, financing methods, and profitability are analyzed in this step. The legal cost, capital acquiring cost, and fixed and variable cost are calculate in this stage. The mode of raising funds, through loans, from investors, or other ways are determined, by understanding the implications and cost related to the financing options. The projected income and expected return on investment are also ascertained. The customer and suppliers’ terms of payment are also determined, to ensure healthy cash flow. The general contents of every financial feasibility study report contain the following:
  • a. Financial Summary
  • b. Projected Statement of Financial Positions
  • c. Income Statements
  • d. Cash Flow Statements
  • e. Notes and explanation of the Financial Projections
  • f. Ration Analysis
  • g. Break Even Point Analysis
  • h. IRR, NPV and Payback period of the project.
  • i. Working Capital requirement analysis
• 3. Technical Aspects: The resources necessary for the businesses are analyzed in this step. The hardware/software requirements, source and availability of capital Assets, and whether an expansion or change in line can be accommodated with the capital being invested are some of the aspects to be determined regarding facilities and equipment. Manpower requirements, the technical knowledge they should possess, training that should be provided, the competency and experience of managers are the expects to be considered regarding labor and management. Following aspects should be considered:
  • a. Cost of Technology
  • b. Cost of Technological Development
  • c. Costs for Consultancy Support
  • d. Costs of the organization for piloting training
  • e. Running Cost
• 4. Schedule:The time frame to set up the business is decided in this stage. Though market analysis takes time, a viable business plan must be executed within a set time frame as the market is very dynamic. The business plan should be turned into reality within the stipulated time to ensure that the company’s goals and objective are met.
• 5. Operational strategy:We uses the PIECES framework which helps in identifying the problems to be solved and their urgency:
  • P: PERFORMANCE – Whether the mode of operation provides adequate throughput and response time?
  • I: INFORMATION – Whether the end users and managers with timely, pertinent, accurate, and usefully formatted information?
  • E: ECONOMY – Whether the mode of operation provides cost-effective information services to the business? Could there be a reduction in costs and/or an increase in benefits?
  • C: CONTROL – Whether the mode of operation offers effective controls to protect against fraud and to guarantee the accuracy and security of data and information?
  • E: EFFICIENCY – Whether the mode of operation makes maximum use of available resources, including people, time, the flow of forms?
  • S: SERVICES – Whether the mode of operation provides reliable services? Is it flexible and expandable?
• 6. Feasibility Study benefits the following:
  • a. Helps narrow down the different business plans.
  • b. Channels the business in the right direction
  • c. A detailed study of the market helps businesses identify available opportunities.
  • d. Address the weakness of the competitors.

Trade finance is the financial assistance provided for trading transactions locally and internationally, through various financial products. In simple terms, Trade Finance is the funding and support provided to conduct trading activities. Trade finance is mainly provided by banks and other financial institutions. Types of Trade finance are;

• • Working capital loans
• • Terms Loans
• • Letter of credit
• • Receivable discounting
• • Bonds & guarantees

AAYU Management has vast experience in preparation of documents and facilitate with banks and financial institutions in helping business with its trade finance advisory service in the UAE.

AAYU Management provides virtual CFO services in UAE as per the requirement of the client. We can provide outsourced CFO services in the UAE with reasonable fee depending on the scope and assignment. Our experienced member such as CA, ACCA, CPA, IMM, who worked for big MNC as CFO for more than decade can support in your business for strategic decision making.Our CFO Service in the UAE includes:

1. Formulation of business strategy/policy and action plans.
2. Provide support in preparation of annual budget and its review on continuous basis.
3. Guidance in setting up an Internal Control Processes
4. Guidance in preparation and implementation of organization’s SOP
5. MIS Report preparation and analysis of financial data.
6. Cash Flow and working capital management.
7. Review of contract with customers, suppliers, etc.
8. Guidance related to UAE Tax matters.
9. Guidance in monitoring accounts department as and when required.
10. Cost Analysis in Project management and construction contracts.
11. Provide regular business advice to the CEO/owners when required.
12. Support in Pre-costing and Post-costing Analysis.
13. Liaison with banks and financial institutions.
14. Support in providing working capital loans from banks and financial institutions.
15. Assist in Risk Management.

A Standard Operating Procedure (SOP) is a set of step-to-step instructions compiled by an organization to help the employees carry out complex routine operations. SOP is a set of processes or procedures that each department in an organization has to follow on a daily basis while performing each task. This set of standards of each department will help to perform the task more efficiently without error in the work place. There shall not be any deviation in the policies set on SOP which will lead to organizations growth.

AAYU Management provides following services in relation with Standard Operating Procedures.

1. Suggestion and correction in existing SOP, if already maintained.
2. Defining the standard SOP for the core activities of business.
3. Assisting for detailing the SOP as per the need of the customer.
4. Ensuring that activities are conducted as per SOP.
5. Ensuring the line of command is followed while conducting business activities.
6. Ensuring that the procedures are followed by all the employees in a organization.
7. Support in implementing SOP.
8. Post implementation review of SOP.
9. Assess any amendments are required to be made in SOP.