In some cases, a valuation of the company?

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enterprise valuation referred to the definition of fair market value of the assets and liabilities of the enterprise.

The latter include real estate, transport and work equipment, stocks in warehouses, customer base, brand staff.In addition, the valuation of the company is designed to determine the effectiveness of its activities, the establishment of income, growth prospects and market analysis.As a rule, evaluated and tangible and intangible assets, the potential profitability of the business and investment.

Valuation enterprise determines the market value of the company is owned by the company with obligations and rights.The procedure involves financial and organizational analysis of the company.

Such peer review is very relevant in our time, so more and more companies to assess the offer this service.Market purchase and sale of companies is developing very dynamically, accordingly, a need for qualitative assessment also increases.

Feature evaluation companies - market character.Therefore, when establishing the value taken into account not only the cost of setting up a similar enterprise, but also the factors that influence the market and the value of the object.The market value of the enterprise - marketing and financial instrument that is used for different purposes.Properly conducted evaluation ensures the reliability of transactions, avoid risks, the establishment of businesses.

to objects that are included in the assessment of the company include residential and non-residential property, land, machinery and equipment, shares and securities in rem and obligatory rights and so forth.

Valuation Company: goals

company to be evaluatedin cases of:

  • its total or partial sale;
  • exit of one or more members of the community;
  • its restructuring (merger, separation, acquisition, liquidation);
  • need to make a contribution to the authorized fund;
  • increase the efficiency of the administration;
  • need to receive a loan secured by the company's assets;
  • realization of the investment project;
  • sale of property;
  • sale at an auction in bankruptcy;
  • determining the creditworthiness of the company;
  • optimize the cost structure of the property;
  • developing a business plan;
  • transfer of property rights;
  • implementation of management decisions.

Naturally, besides the above, there are other objectives of the evaluation, which can vary depending on the particular case.

The assessment may be interested as owners or shareholders of the company and its partners.In most cases, the valuation of the company is carried out with a view to sale, so the assessment may require a potential buyer.

In addition, evaluation of the company is needed to determine the value of shares, securities, shares in the capital, as well as the redemption of shares, against the decision on alienation and other similar cases.There is also such a thing as an estimate of the liquidation value of the company, ie net cash amount that the owner may receive in the event of liquidation and sale of assets.

Standard Assessment Report includes a detailed description of the company, financial diagnostics company solvency assessment, analysis of the industry and the market in general, the description of the techniques used in the assessment, calculation of the cost of companies with potential for development, the results, their interpretation and conclusions.