In the process of valuation of business all company's assets, including property, machinery and equipment, inventories, investments, intangible assets, are evaluated.

For production and capital-intensive enterprises (plants, factories) it is the cost of the property, mainly tangible assets. For service, trade, IT companies the main criterion is the value of the brand, which generates revenue.

We separately evaluate the company’s performance, including effectiveness of management. We conduct analysis of the achieved results, current conditions, forecast of cash flows based on the industry outlook considering competitive environment.

In valuation of business appraiser focuses on the transactions and sales of similar companies in the same industry or the market segment.

Purpose of Valuation of Business:

  • Improving efficiency of current management;
  • Valuation of shares, corporate bonds in the stock market;
  • Investment decision;
  • Purchase and sale of enterprise wholly or partially;
  • Definition of owners’ shares in monetary equivalent in case of sale of shares or death of one of the partners;
  • Determination of purchase price or buy-out of shares, conversion price or the amount of bonus to be paid to shareholders of the absorbed company, in case of company restructuring;
  • Design of development plan of the company (estimation of the future revenues, the degree of the company’s stability and the value of its image);
  • Determining the creditworthiness of the company and the value of collateralized property in crediting (in this case, valuation is required due to the fact that the value of assets in financial statements may differ from the market value);
  • Insurance, when it is necessary to determine the value of assets in anticipation of possible losses;
  • Taxation (for determination of tax base);
  • Take informed managerial decisions.

Inflation distorts financial statements of companies, so the periodic valuation of property by an independent appraiser can show objective financial statements, which becomes the basis for financial decision-making.

Process of Valuation of Business:

  • Consultation of a qualified appraiser;
  • Study of existing customer’s documents;
  • Definition of purpose of valuation and kind of defined value;
  • Receipt and study of data and documents containing information about significant factors that affect the value of the valuated property;
  • Site visit for gathering require information (including photo fixation);
  • Determination of possible approaches and methods of valuation;
  • Calculation of project cost estimates in accordance with the selected approaches and methods;
  • Composing of report in accordance with the applicable legislation;
  • Obtaining positive opinion/conclusion from the Territorial Federal Property Management Agency in St. Petersburg, or Saint Petersburg City Property Management Committee (if necessary).

Terms: from 15 days to 2 months, depending on the complexity.

Prices for services are listed here.