One of the common questions in valuing businesses of different sizes we hear often: Are there differences in value between companies of different sizes? If so, how does the difference factor into business valuation? The fact is that when it comes to business valuation, size matters. This makes intuitive sense if you spend a bit… Continue Reading
If you are valuing a private company risk assessment is one of the key steps. Business value depends on the company’s earning capacity at a certain level of risk. The greater the risk, the greater the returns should be to justify the investment. This risk assessment is typically represented by the discount and capitalization rates… Continue Reading
You may ask: if all business appraisers follow professional standards such as USPAP and SSVS, then how can business valuation results be so different? The reason is that clients who order business appraisers have a number in mind beforehand. The client wants a certain result and is rarely content with just knowing the answer. There… Continue Reading