Business Valuation Services

1. BUSINESS VALUATION SERVICES Methods to Determine a Business Value 1. Know its Book Value – A company’s book value is essentially its worth on paper, typically identified by examining the information on a corporate balance sheet. Book value can be a great way to get a quick and easy overview of a business’s rough financial worth. 2. Perform a Cash Flow Analysis – You can use a discounted cash flow analysis to get value estimation based on the cash flow the organization is likely to generate. It allows you to determine the future value of a company based on its current cash flow and associated factors. You divide terminal cash flow by expected capital and the company will own years into the future. This valuation approach is beneficial because it shows how well a company can generate liquid assets. 3. Measure Enterprise Value – Enterprise value is a great way to get the raw financial value of a company. It is best to work with business valuation firms to evaluate a company’s worth through professional’s assistance. To determine enterprise value, combine the company’s equity and debt, then subtract the cash it doesn’t use to fund its operations. 4. Add Up to its Net Asset Value – If you want to sell your company for a reasonable price, you can tally up all the value of your net assets. Further, add up the value of everything your business owns, such as equipment, inventory, or real estate. That can be a powerful way to bargain when you want a reasonable price for your exit. www.kapso.in 8080171171