When is a Business Valuation Needed?
A Business Valuation is needed when the value of the business is being challenged by the IRS,an opposing attorney, or a partner. A professional business valuator is needed under the following circumstances:
- Estate Planning
- Divorce and Matrimonial matters
- Buy / Sell Agreement among partners
- Partner or shareholder disputes
- ESOPs (Employee Stock Ownership Plans)
How Much is a Business Worth?
A business is worth the price a will buyer and a willing seller will agree on. However, private companies have no market to trade their stock, and sales data of private companies are confidential. This makes Business Valuation complicated, and it requires specialized skills, training, and experience.