Business valuations provide vital information regarding transaction prices and the value of shareholders’ equity. With so much riding on these reports, it’s imperative to have conclusions that you and your management team can rely on. Here are some common mistakes to avoid so that your valuations remains a reliable resource.
1.Using flawed valuation models
The three main valuation approaches are (1) the income approach; (2) the market approach; and (3) the asset approach. There are various…