What Is a Business Valuation?
A business valuation is a general process of determining the economic value of a whole business or company unit. Business valuation can be used to determine the fair value of a business for a variety of reasons, including sale value, establishing partner ownership, taxation, and even divorce proceedings.
The topic of business valuation is frequently discussed in corporate finance. Business valuation is typically conducted when a company is looking to sell all or a portion of its operations or looking to merge with or acquire another company. The valuation of a business is the process of determining the current worth of a business, using objective measures, and evaluating all aspects of the business.
What Will I Learn?
- Build complete valuation model of companies
- Build historical financial statements of companies
- Analyze the Annual Report of companies
- Perform valuation analytics on companies
- Forecast future financial statements of companies
- Undertake sensitivity analysis of a valuation estimate