Define: Business Valuation

UK Accounting Glossary

Definition: Business Valuation



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Full Definition of Business Valuation


Business Valuation is the process of determining the economic value of a business or company. Business valuation can be used to determine the fair value of a business for a variety of reasons,  including sale value, establishing partner ownership and divorce proceedings.

There are a variety of business valuation techniques used for determining a fair price for a business.  These include:

There is a truism in the venture capital industry that “the value of a company is only what someone is willing to pay for it.” In other words, in the end, the market – and your ability to attract investors and negotiate with them – will determine the value or selling price.


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Business Valuation. PayrollHeaven.com. Retrieved March 29, 2020, from PayrollHeaven.com website: https://payrollheaven.com/define/business-valuation/

Definition Sources


Definitions for Business Valuation are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 23rd March 2020.