A company or business evaluation is a essential process for those who seek to buy or sell companies. Though it isn’t only destined to this niche, but to all societies and businessmen who want to know the real value of their entity.
The process of buying of a company is fundamental because it helps in calculating the risks of the operation, puting various scenarios in place, such as prices, market, competition or growth and still allowing to better understand the viability of the process, managing to get to the return of the investment.
In the sale of a company it will help the client to find the real fair price that most times is unknown, still allowing to diagnose the truthful value and giving a biger notion to the seller about the importancy of what is going to work on.
This evaluation sits on three fundamental analysis:
- Accounting analysis;
- Financial analysis;
- Risk analysis.
It is extremely important to analyze the assets, capital, results, company ratios, together with its risk scores so that, in a concise and reasoned way, can get to the real project value.