We work closely with clients to understand their needs and to develop bespoke valuation solutions to complex issues. We focus on understanding the business dynamics of the company and identifying the key value drivers of the sector in which it operates.
WHY DO BUSINESSES NEED TO BE VALUED?
Business Plan structure
There are many occasions in the corporate life cycle when a business needs to be valued. These are :
While estimating/calculating the valuation of a company, it is important to arrive at a possible number by using more than one approach. This is done to provide confidence and reaffirm the accuracy of the valuation.
There are three approaches to valuation:
- Income Approach
Converts future cash flows generated over the remaining useful life to a current value, through the application of a discount rate that reflects the time value of money and risk.
- Market Approach
Compares the business in question to similar businesses in the industry that have available market data
- Asset Approach
Values a business as the sum of the values of its individual assets and liabilities.
Each of the above approaches have different valuation techniques within them. Our valuation analysts take more than one approach to valuation and use different techniques within those approaches to give our clients the best valuation estimate or even a range for reference. Our final product is not a mere excel sheet but a detailed report that clearly describes the company’s business model, industry, total market and the approach we followed to arrive at a particular valuation.
Industries we have worked for
Food, Beverage and FMCG
Get in touch today for a free, no-obligation initial consultation!