Valuation of the company
Company valuation is an essential part of business decision-making in the busy business world.
In the process of making a sales decision about the sale, acquisition, or merger of a company or the financing of a project, it is crucial to have a complete understanding of the actual value to avoid financial and operational risks and damages.
Valuation reports are based on a comprehensive methodology according to international standards with several models depending on the objective of the valuation procedure.
In practice, the following valuation methods are most used:
- DCF i.e. discounted cash flow method
- Method of trade multipliers
- Method of transaction multipliers.
Each method has its disadvantages and advantages, which make it more or less applicable concerning the specifics of the evaluated society.
Situations in which it is recommended to assess the value of the company:
- Determining value for existing owners
- Preparation for the sale of the company
- Preparation for the recapitalization process
- Purchase of the company
- Implementation of the Due Diligence process
- Preparation for initial public offering (IPO)
- Payment of co-owners who want to exit the ownership structure
- Evaluation of the performance of the administration
- Conversion of creditor's claim for equity share
Regardless of the situation, our experts will guide you through the valuation process, providing objective, comprehensive, and technically sound advice.