The world of investing does not provide the luxury of knowing exactly what is going to happen. However, best efforts can be made to evaluate the future outcome. Such evaluation is arguably the most important factor that determines the success of the investment or business and hence “VALUATION”.
Valuing an investment or business is important for decision-making and planning, and is particularly important in any situation of business transfer. The difficulty arises when the investments are made in privately owned businesses that do not have an easy mechanism to determine market value as it would be for a publicly traded company. The assessment of such a company’s future prospects is a very significant and challenging process that requires strong expertise combined with thorough knowledge of business valuation, experience and knowledge of the market to be able to assist with ideas which could help maximize the value of business.