Ask any seasoned business appraiser and you will hear that business value is about future expectations. Business people invest in companies because they expect returns on their investment. Business historic performance is only interesting in so far as it enables you to estimate future returns. Opportunity cost – making your best investment bet Financial experts… Continue Reading
Are you suspecting the value of a business has been overstated? If you run across a business whose value seems to be too good to be true, you may be right. Business valuation relies upon the estimates of business earnings. And inflated earnings could easily wind up causing business value to be overstated. While reasons… Continue Reading
Whenever you run across a business appraisal for a privately owned company, the choice of discount and capitalization rates pops up. These parameters let you assess company risk, an essential element of valuing any business. The income based business valuation requires that you provide an accurate estimate of business earnings along with the discount and… Continue Reading