
Business Valuations
Business valuation is the process of determining the economic value of a company. It involves analyzing various factors, such as earnings, assets, market conditions, and future potential. Valuations are essential for various purposes, including buying or selling a business, attracting investors, or financial reporting. Common methods include the income approach, which focuses on future earnings, and the market approach, which compares similar businesses. Ultimately, a business valuation provides a clear picture of a company’s worth, helping stakeholders make informed decisions.