Business valuation is an essential process for a company because it provides information as to how well the business is doing for a specific period. In addition, determining the value of the business helps the company determine its resale value in case it has to be sold in the future. Below are the people who can perform business valuation:
Certified Public Accountants (CPAs). In the U.S., CPAs are given accreditation in business valuation (ABV) if they have received formal education and training in the field, as well as passed the BV exam given by industry-recognized institutions. As certified accountants, they must deal with matters that involve financing, business analysis, taxation, and the like.
Financial/Investment advisers. Financial consultants can perform business appraisals because they are knowledgeable about capital gains, investments, and financing. Financial consultancy is a multi-specialization field. Before hiring a financial consultant for the business valuation, the company must make sure that their nature of business is within the realm of the consultants expertise.
Real estate brokers and agents. In terms of determining the value of the companys real estate properties, a real estate broker/agent is the best
business evaluator to work with. In case the company needs to sell one of its holdings, a broker can provide accurate data on the propertys value.
Any professional authorized by a reputable association of appraisers. Recognized organizations who give certifications to valuation analysts are qualified to do business appraisals. A recognized
business evaluator is screened and assessed by the certification-giving body, which proves that he has met the qualifications set by the board.
Yourself. If you have the education, training, and documents that qualify you for business evaluation projects, you can perform it yourself without extensive help from expert
business valuers, although they can still be of great help for tough business decisions. Since they know the profit flow and overall performance of the organization, it is not out of the ordinary for business owners to evaluate their own company. There are times when they simultaneously perform business valuation and strategic-planning. They consider this a time-efficient and effective way to improve their industry standing.
