What Exactly Is Being Valued and Which Decision Needs the Figure

The owner first defines the object: the whole company, corporate rights, a specific share or a separate asset. The purpose determines the valuation date, the source data required and the form of the result. For a sale, the negotiating position matters; for collateral, the bank's requirements; for a corporate decision, the document on which the participants rely.

The lawyer checks the rights attached to the share: voting, appointment of the director, restrictions on sale, dividends and exit procedure. The valuation and the actual transaction price are separate: debt, cash balance, working capital, deferred payment and seller warranties may change the amount the parties actually pay.

Which Figures Actually Create Business Value

The financial part starts with revenue, margin, cash flow, assets, loans, receivables and payables. One-off income, non-core expenses and the owner's personal expenses are separated from the result the business can repeat. The forecast is linked to contracts, clients, capacity, staff and investment.

The income approach is based on future cash flows, the market approach on market indicators, and the cost approach on net assets. A specialist valuer selects the method for the task. It is useful for the owner to see the sensitivity of value to sales, margin, debt and key risks in order to understand which indicators genuinely strengthen the price.

How to Use the Valuation in Negotiations and the Transaction

Before negotiations, the director prepares a folder with corporate documents, financial statements, key contracts, rights to assets and an explanation of the forecast. Together with the report, the owner receives a short map of value factors and understands which documents the buyer or investor will request during due diligence.

UBC can prepare the valuation brief, organise corporate and financial materials and engage a specialist independent valuer. The owner receives a basis for the decision: sell the business now, attract an investor, or first improve the indicators that have the greatest effect on the future price.

What to Provide at the Start

The owner provides current contracts, the order portfolio and justified sales forecasts. The figures should be based on clear assumptions: volume, price, clients, production capacity and costs.

• the valuation purpose, object, date and intended recipient
• the charter, ownership structure and rights attached to the share being valued
• financial and management reporting for the available periods
• a list of assets, liabilities, contracts and key clients
• the budget, forecast and information about material events

How We Organise the Work

The valuer uses the data in accordance with the purpose of the report and the selected approach. The director receives an explanation of the main factors that affected the determined business value.

1. We clarify the objective, document recipient and control date.
2. We check the source information and identify missing supporting evidence.
3. We prepare the calculations, text and attachments in one agreed version.
4. We discuss the key assumptions with the owner and responsible employees.
5. We deliver the final package and the procedure for its further use.

The calculation includes bank loans, participant loans, amounts owed to suppliers, taxes and other liabilities. Accounting provides the amounts, terms and contractual grounds for showing them.

Scope, Timing and Cost

Guarantees, pledges and material contractual obligations are disclosed separately. The buyer or investor receives a valuation that takes into account the company's financial position on the selected date.

The report describes the object, purpose, valuation date, source data, approach applied, calculations and final value. The appendices contain the documents and tables relied on by the specialist.

How We Check the Quality of the Result

UBC checks the company's details, the set of materials provided and the planned use of the result. The owner receives a file for the transaction, corporate decision or another agreed purpose.

The initial list is refined after reviewing the business. The owner appoints an employee who answers questions about finances and provides documents to the valuer.

What the Company Receives

The price depends on the object, purpose, business structure, volume of financial data and report requirements. The specialist valuer's services and UBC support are agreed as separate items.

How to Use the Result after Preparation

Before work starts, the client receives a proposal, timeframe and list of source materials. After the report is delivered, the specialist answers questions about the calculations and documents so the owner can use the result.

We Prepare Data for Negotiations

For the calculation, we separate the sustainable business result from one-off income, the owner's personal expenses and related-party transactions. We check revenue, margin, working capital, liabilities, key contracts and assets without which the company cannot continue operating. We link the forecast to specific prices, sales volumes, staff and investment.

The owner receives not one unexplained figure but a range and a list of the factors that form it. These data help justify the price, compare an investor's offer and prepare the transaction terms. For an official procedure, we agree the content and form of the result with the specialist valuer and the future recipient of the document.

Arrange a Business Valuation