Patent Portfolios and Intellectual Property
In mechanical engineering, IP is the core. Buyers intensively examine which patents you hold, how long they run, and how defensible they are. A strong patent strategy – protection in key markets (EU, USA, Japan, China) – can increase enterprise value by 15–30%. Document all proprietary developments, trade secrets, and license agreements. Weaknesses in IP documentation lead to purchase price discounts.
A strong patent portfolio is more attractive than one based on few patents soon expiring.
Custom Machinery versus Series Production
Custom machinery builders achieve higher margins and less cyclical revenue. However, each project is unique – which deters some buyers. Series manufacturers have standardized processes, but more volatile orders. Do you sell both? Then show how you gain efficiency through modularization. International buyers value this flexibility.
The buyer will analyze how predictable your business structure is and how scalable it can be.
Export Quotas and International Market Presence
Mechanical engineering is export-oriented. Buyers focus on geographic diversification: are you strong in Europe but weak in Asia? Low export share can be growth risk – or added value for buyer with distribution network. Document customer structure by region and industry (automotive, pharma, packaging, etc.). This helps buyers recognize cross-selling potential.
An export-strong company with diversified markets is more attractive than one purely local or regionally focused.
Chinese and PE Investors: What They Want
Chinese buyers often focus on technology transfer and market access. PE funds focus on EBITDA growth, operational levers, and exit scenarios. Prepare for both: for China, show your technology, customer relationships, and China scalability. For PE, present market trends, benchmark KPIs, and realistic growth.
A company able to understand both investor types has better sale chances.
Machinery Inventory Valuation and Skilled Workers
Your production asset value is part of valuation. Have machinery valued by experts – age, condition, utilization. Critical are your skilled workers: do you have engineers, designers, programmers with specialized knowledge? Key people dramatically increase value, but also risk. Structure retention agreements with employee successors.
Modern production with well-trained staff is more valuable than outdated facilities with staff fluctuation.
VALENTYR VOS for Complex Mechanical Engineering Valuation
VALENTYR VOS Standard (per international valuation standards IDW S1, IVS) brings structure: it values patent portfolios by market potential, disaggregates custom from series revenue, accounts for geographic risks, and quantifies skilled worker inventory. Result: standardized, traceable valuation accepted by Chinese and European buyers.
With VOS Autopilot (from 149€/month), you continuously update these metrics. For larger companies (>750k revenue), VOS Assessment (3,500€) delivers deeper scenario analyses. Instead of 12–18 months, buyers understand your company in 6–9 weeks.