A business valuation can support transactions, shareholder discussions, estate planning and strategic decisions, but the result is only as useful as the assumptions and evidence behind it.
Start with the purpose
A valuation prepared for a transaction may have a different context from one prepared for internal planning, a dispute or estate purposes. Clarify the valuation date, interest being valued and intended use before selecting methods.
Understand the drivers
Historical financial performance is only the starting point. Sustainable earnings, customer concentration, working-capital needs, capital expenditure, management dependence, competitive position and forecast risk can all affect value.
In volatile environments, assumptions around currency, inflation and discount rates require particular care and transparent documentation.
Use more than one lens where appropriate
Income, market and asset-based approaches each answer the valuation question differently. A professional valuation explains why a method is appropriate and reconciles different indications rather than presenting a number without context.
How AS Chartered Accountants can help
Good financial governance is easier when accounting, tax, assurance and advisory work from the same reliable information. AS Chartered Accountants provides partner-led support designed around the realities of operating in Zimbabwe. See Business Advisory Services and Corporate Finance & M&A Advisory.
Contact AS Chartered Accountants to discuss your organisation’s requirements and the scope of support that may be appropriate.
