SITUATION
Todd Finkle, a college professor at a major university in the mid-western United States, is passionate about fly-fishing, which he learned as a child from his father. So his interest was piqued when he heard that his favorite fly-fishing rod manufacturer, Thomas and Thomas, was for sale. Founded in 1969 and well known among fly-fishing aficionados, Thomas and Thomas has a solid reputation, good products, and a loyal customer base.
Question 1 What benefits could Finkle expect if he bought Thomas and Thomas rather than starting his own fly-fishing business?
Question 2 What sources of information about Thomas and Thomas should he use in evaluating the company for possible purchase?
Question 3 What nonquantitative factors should he use in placing a value on Thomas and Thomas?