Business Valuation

Business valuation is the technique and processes for determining the economic value of a business for use in an acquisition or disposal or to determine whether a business is worth more as a single entity or as a separated sum of the parts. Based on the financial results and projections with suitable modelling and adjustments, fair market values can be calculated using appropriate discount rates. Discount rates can involve a risk free rate plus risk premium and calculations of Weighted Average Cost of Capital and use of the Capital Asset Pricing Model.