Valuations

Business Valuations

Ultimately businesses will be valued through a process of negotiation between the buyer and the seller. There isn't a single right answer, valuation isn't an exact science.

The main reasons to value a business are:

• Incorporation of a sole trader or partnership
• Divorce
• Probate
• Internal reward systems
• Sale of the business or part sale

The valuation process will encompass information such as

• Financial Accounts
• Management Accounts
• Budgets
• Forecasts
• Details of liabilities
• Asset Valuations
• Market Analysis
• Client Contracts
• Staff information and records
• SWOT analysis

Goodwill is often the hardest part to value.

The main Valuation approaches are

• Adjusted Net Assets plus Good or Bad Will
• Using Muliples
• Discounted Cash Flow

We are certified by the ACCA in Business Valuations and by Bond Solon in Part 35 and Practice Direction 35 Protocols for Expert Witnesses.