ValuAdder Business Valuation Blog

Business valuation tips, updates and advice. Pick up a few suggestions on how to value a business. Feel free to browse the contents or share your thoughts by leaving a comment.

Archive for June, 2010

One of the central business valuation techniques under the income approach is the discounted cash flow method. It lets you calculate the business value based on three fundamentals: Business earnings forecast, usually annual cash flows. Discount rate which captures business risk. Long-term business value, known as the terminal value. The standard discounting valuation formula assumes… Continue Reading