How do I value my Colorado business for sale?

The most reliable way to value a business is through a formal appraisal that blends income, market, and asset-based approaches. We normalize earnings to remove owner perks, benchmark multiples from comparable Rocky Mountain transactions, and discount projected cash flows to present value. This protects sellers with the IRS, lenders, and potential buyers while identifying value drivers that can be improved before going to market. Online calculators may give a rough range, but they rarely capture the nuances of Colorado industries that can shift price by 10–20 percent.

What is the typical timeline to sell a business in Colorado?

A middle-market sale generally takes six to nine months from start to finish. Preparation and valuation usually require four to six weeks, buyer outreach and management meetings another six to eight, and exclusivity with a chosen buyer about 90 days. Clean financial statements, diversified customers, and simple leases often shorten the process, while regulatory reviews or shareholder disputes can add time. Starting readiness work 12–18 months ahead can remove obstacles and speed closing.

Does Colorado tax capital gains when I sell my business?

Yes. Colorado treats gains from a business sale as part of state taxable income, currently at the flat personal income tax rate. However, the structure of the sale—whether stock, asset, or ESOP—can dramatically change the after-tax proceeds. Careful planning with your CPA can reduce exposure through allocation of intangible value, entity-level elections, or rollover strategies. We model multiple structures so you understand net cash proceeds under each option before choosing a path.

How do I keep my sale confidential in a tight market like Denver or Boulder?

Maintaining confidentiality is critical to protect employees, customers, and suppliers. We use blind profiles that do not reveal your company name, require strict nondisclosure agreements, and stage disclosures as buyer interest advances. Access to data rooms is carefully gated, and communications with landlords and employees are coordinated to avoid disruption. This disciplined process lets you market broadly while controlling sensitive information until the right time.

Do you work with companies outside Colorado and the West?

Yes. While our Denver office emphasizes visibility for Colorado and Rocky Mountain owners, our bankers execute transactions nationwide across industries. We coordinate multi-location diligence, financing, and integration for companies with facilities in multiple states. Business owners often choose us because we combine local market knowledge with national buyer reach, ensuring broad competition for every transaction.

Denver Investment Bank | M&A, ESOP & Valuation

Services Tailored to Colorado

While based in Denver, our team executes transactions nationwide through PCE’s firmwide resources and national network.

Mergers & Acquisitions

Colorado’s diverse economy spans advanced manufacturing, aerospace, energy services, healthcare, technology, and tourism. We run disciplined, confidential processes that attract strategic buyers and private equity nationwide, create competitive tension, and negotiate terms that protect value. From positioning and outreach through diligence and purchase agreement, we handle the heavy lifting so you can stay focused on the business.

ESOP Formation & Advisory

From Denver, we expand PCE's ESOP advisory across the Western U.S. We educate owners and advisors and assess whether an ESOP fits succession goals. When it does, we lead a streamlined process in coordination with trustees, counsel, and lenders. For ESOP-owned companies, we provide ongoing advisory on governance, management succession, M&A, capital planning, repurchase-obligation modeling, and annual valuation support. Specific to companies headquartered in Colorado, there are Employee Ownership Tax Credits available for companies that convert to employee ownership (up to $150,000). There are also ongoing tax credits for annual ESOP administration. Please contact us for more information.

Business Valuation

Decision-grade valuation supports deals, tax, reporting, and litigation. We deliver defensible opinions for ASC 805 purchase-price allocation, ASC 350 and 360 impairment testing, equity compensation under ASC 718 and IRC 409A, fairness and solvency opinions, and shareholder matters. Our models reflect Western market comps and the specific drivers of your company.

Strategic Advisory

If a sale is not the next step, we build value-creation roadmaps: operating improvements, capital-structure planning, add-on acquisition screens, and minority recapitalizations. The goal is clear: increase enterprise value and optionality so you can choose the right exit, on your timeline.

PCE location quick links:

Ken Sommers
Managing Director, ESP

Ken leads ESOP advisory in Colorado and the Western U.S. A CPA and seasoned financial executive with 27+ years in finance and operations, he installed and managed an ESOP for many years as a company CFO, then led the sale of that ESOP-owned business to private equity. Ken blends hands-on operator experience with technical depth in valuation, financing, and transaction execution to guide owners through complex ESOP structures and ownership transitions. Backed by PCE's firmwide resources and multi-office team across M&A, valuation, and capital markets, he brings national buyer and lender relationships to every engagement. Prior roles include audit and advisory at PricewaterhouseCoopers.Certifications & Affiliations: FINRA Series 24 and 79; Certified Public Accountant; NCEO; ESOP Association.

Education: BS, Business Administration - Accounting, University of California, Berkeley.

Client Testimonials

We are grateful for PCE's unwavering support throughout this process. Their focus on achieving the best terms for DAG and our employees was instrumental to the success of this transaction."

Pete Balint
Dominion Advisory Group

Our partnership with PCE was instrumental in making our strategy a reality. We are extremely happy with the support and guidance we received from PCE during the transaction. Their team's dedication was key in facilitating an efficient and successful close."

Jason DeBono
NuView

Frequently Asked Questions

How do I value my Colorado business for sale?
The most reliable way to value a business is through a formal appraisal that blends income, market, and asset-based approaches. We normalize earnings to remove owner perks, benchmark multiples from comparable Rocky Mountain transactions, and discount projected cash flows to present value. This protects sellers with the IRS, lenders, and potential buyers while identifying value drivers that can be improved before going to market. Online calculators may give a rough range, but they rarely capture the nuances of Colorado industries that can shift price by 10–20 percent.
What is the typical timeline to sell a business in Colorado?
A middle-market sale generally takes six to nine months from start to finish. Preparation and valuation usually require four to six weeks, buyer outreach and management meetings another six to eight, and exclusivity with a chosen buyer about 90 days. Clean financial statements, diversified customers, and simple leases often shorten the process, while regulatory reviews or shareholder disputes can add time. Starting readiness work 12–18 months ahead can remove obstacles and speed closing.
Does Colorado tax capital gains when I sell my business?
Yes. Colorado treats gains from a business sale as part of state taxable income, currently at the flat personal income tax rate. However, the structure of the sale—whether stock, asset, or ESOP—can dramatically change the after-tax proceeds. Careful planning with your CPA can reduce exposure through allocation of intangible value, entity-level elections, or rollover strategies. We model multiple structures so you understand net cash proceeds under each option before choosing a path.
How do I keep my sale confidential in a tight market like Denver or Boulder?
Maintaining confidentiality is critical to protect employees, customers, and suppliers. We use blind profiles that do not reveal your company name, require strict nondisclosure agreements, and stage disclosures as buyer interest advances. Access to data rooms is carefully gated, and communications with landlords and employees are coordinated to avoid disruption. This disciplined process lets you market broadly while controlling sensitive information until the right time.
Do you work with companies outside Colorado and the West?
Yes. While our Denver office emphasizes visibility for Colorado and Rocky Mountain owners, our bankers execute transactions nationwide across industries. We coordinate multi-location diligence, financing, and integration for companies with facilities in multiple states. Business owners often choose us because we combine local market knowledge with national buyer reach, ensuring broad competition for every transaction.

location

Denver Investment Bank | M&A, ESOP & Valuation