Valuingyourbusiness

Business valuations are needed for a range of reasons, including sale or purchase negotiations, raising investment, share transfers, divorce proceedings, or succession and inheritance tax planning. Different methods exist, from valuing based on a multiple of earnings, to asset-based approaches, to comparisons with similar businesses that have recently changed hands, and the right method depends on the type of business and purpose.

Valuation is part art and part science, and the figure produced often needs to be defensible to third parties such as buyers, investors or HMRC. If you're considering a sale, raising finance or planning for succession, getting an informed view of your business's worth early gives you a much stronger position to plan from.