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The scenario by now is familiar. Trade publications and the rumor mill are abuzz with the news that an up-and-coming firm has been sold for an eye-popping premium over its competitors. With a combination of curiosity and envy, everyone wants to know how they did it. What made that particular firm so much more valuable than its peers? Was the buyer a fool? What made the firm so special?

This is a study for senior executives and owners of professional services firms interested in maximizing the value of their company. This study was designed to shed light on the factors that drive well-above-average valuations. We refer to them simply as premium valuations.

Not every firm is interested in being acquired. But as we conducted the research we learned that many of the findings are relevant to any firm that wants to maximize its value in a sustainable way. The study addresses two key topics:

• What does it take to achieve a premium valuation for a professional services firm?


• How should a management team go about building a firm that commands a premium valuation?

This basic concept helps explain how acquirers and valuation experts look at professional services firms. Every piece of data the experts examine, from the hardest financial variable to the softest impression of a firm's reputation, helps to shape an overall impression.

But when it comes to premium valuations, not all factors are equally important. Here's how the specific factors rank, based on a rating of individual criteria by each study participant.

Click here to download the full Top Dollar Govt Report.

This study was researched and produced by Hinge, a marketing firm specializing in professional services companies. Headquartered in Reston, Virginia, it is located at the heart of one of the nation's largest concentrations of professional services firms. Their comprehensive offerings include research and strategy, brand development, award-winning creative and marketing outsourcing. Visit Hinge's website for free educational resources and learn more about their services. Visit www.pivotalbrands.com, 703-391-8870

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Closing/ AnnouncementDate	Buyer	Seller	Purchase Price	Seller Revenue
December 9,2008	New Mountain Partners III, LP	Camber Corporation	N/D	$300m
December 3, 2008	L-3 Communications	International Resources Group Ltd. (IRG).	N/D	$100m
December 1, 2008	Mantech International	EWA Services, Inc.	N/D	$20m (08 est.)
November 24, 2008	ISO	Atmosperhic and Environmental Research (AER)	N/D	$16m (est.)
November 24, 2008	Kratos Defense & Security Solutions	Digital Fusion, Inc.	$31.75m (est.)	300 people
October 31, 2008	The Shawmark Group	Aspiration Software LLC (majority investment)	N/D	N/D
October 16, 2008	Boeing Co.	Federated Software Group	N/D	150 employees
October 15, 2008	Clinton Rubin LLC	McConnell International LLC	N/D	N/D
October 10, 2008	Veritas Capital	CherryRoad GT, Inc.	N/D	N/D

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Venture Management, Inc. (VMI) is an investment bank that provides merger and acquisition advisory services to technology based businesses, their investors and lead executives. VMI is particularly known for its expertise in supporting consolidation strategies in the Federal Services market, especially for firms in the aerospace and defense, intelligence and homeland security sectors.

For more information regarding Venture Management's services, call Mark Shappee at (805) 644-5335 mark@venturemanagement.com or Paul Serotkin at (781) 750-8065 paul@venturemanagement.com

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