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