Frequently Asked Questions

These are some of the questions our clients often ask us at BIZVAL before ordering a business valuation.

How long does a business valuation take?

An average valuation takes around 7 business days to complete.

What information do I need for a business valuation?

You will need to complete our Valuation Order Form, with as much detail as you possibly can, and provide a set of financial documents.

How can I pay for my business valuation?

Payment can be made via direct deposit (EFT) or cheque.

How is a business valuation calculated?

Calculating the value of a business is normally achieved by using one or more of six commonly used methods. Which method is applied will depend on the health, maturity and type of business.

Valuations of start up businesses

It is possible to attach a value to a start-up business because it is largely assessed on projections of future earnings rather than past results.

Valuing unusual businesses

Every successful business has something that makes it different. However, all businesses have one thing in common: a set of financial statements.

Can I ask any accountant to do a business valuation?

The answer might be ‘yes’ but there are some things to consider first. There are three important questions you should consider asking:

Is a business valuation value-for-money invested?

A Business Valuation demands both experience and time. Both can be expensive commodities but value can be secured when these elements are managed effectively

Do simple internal restructures require valuations?

Internal restructures often trigger what is known as a Capital Gains Tax Event (CGT Event)

What are the current valuation multiples by industry?

Business valuations and multiples are a very complex area, with many intertwined factors combining to influence the final outcome of each assessment.

How are valuation multiples determined?

By thoroughly reviewing a business and understanding its risk profile, we can determine the required rate of return and then convert that into a business valuation multiple.

How are rate of return and valuation multiples linked?

By determining the required rate of return of a business we are able to convert it into a business valuation multiple.