BVX Knowledge Base
BVX Knowledge Base
M&A University

Modes of Operation

BVX® offers 4 modes of operation. They are

1) Basic,

2) Standard,

3) Standard with Advanced Features, and

4) Deal 25. BVX® functionality is the same in all modes, however features are different.


To switch from one mode to the other you must save the valuation project file you are working on.


Modes of Operation can be selected by choosing the appropriate radio button in the display panel in the center of the Overview screen. Advanced Features are activated after Deal Optimizer™ is used once in the Standard mode. They are not available in the basic mode. They can be selected from the center display panel by checking the Advanced Features box or by going to Tools/Advanced Features. 


The Basic mode is designed for small businesses and for beginners. Simplicity is achieved by disabling many features. Values for many of the input data cells are pre-determined and the corresponding cells are disabled. For example, small businesses are primarily sold in an Asset sale, they do not have bank borrowings, and they do not need all the financing options of the Advanced Features. Therefore values for these input cells is pre-determined and the cells are disabled in the Basic mode.


The Standard mode is designed for general-purpose valuation. It requires all the inputs on the Overview screen to complete a valuation. The Standard mode restricts sales growth, profit margin, and capital expenditures (as a % of EBITDA) to be constant for all of the 5 years. In addition balance sheet changes are restricted to be proportional to sales only, and features like mezzanine financing, earn-outs, real estate are not available.


The Standard mode with Advanced Features allows the user to change key parameters for each year (e.g. sales growth can be changed for each year) and it adds more financing options, including the mezzanine financing, real estate, earn-outs, excess cash, etc. It also enables the Deal 25 feature.


Deal 25 is an optional Premium Feature for sophisticated users. It permits valuation based on 25 years of projections. Deal 25 is a useful feature for start-ups and high growth businesses. See .