Do you know the market value of your business?

Published May 3, 2019

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You own a business. Sooner or later, you will need to know its "fair market value". The opinion of an expert in this field is essential in a number of situations: tax and estate planning, the purchase or sale of a business, family disputes, conflicts between shareholders, quantifying damages suffered in a disaster, and many others. Whatever the reason, valuing a business and quantifying the damage is a complex, partly subjective task requiring specialist knowledge, experience and expertise.

The business valuer is the specialist you need. Not to be confused with a chartered appraiser, whose expertise is to formulate an opinion on the value of an asset or property.

¬ To quantify the value of a company, the EEE uses various valuation methods recognised by the courts and the tax authorities. This leads him to conclude on a range of values, and then explains his approach, methods and conclusions in simple terms. His valuation report can take several forms, adapted to the situation and the precision of the valuation required.

¬    What adds value, what detracts: a meeting with this expert helps the owner to realise this; a sale is often prepared a few years in advance.

¬ Fair market value": under tax law, certain purchase and sale transactions are also subject to the obligation to use fair market value (non-arm's length transactions). To avoid costly consequences in the event of a review of the transaction by the tax authorities, it is essential to use the services of an EEE to secure the tax consequences of the transaction.

¬ In the context of litigation, the EEE quantifies the damages or losses resulting from a dispute. The EEE supports your legal advisors at several stages of the resolution process, from the case preparation phase through to the trial. The EEE combines its knowledge and experience in the field of finance with the rigour, independence and objectivity required of any expert witness in court.

For your business valuation or damage quantification needs, the Mallette professionals near you can meet your requirements and advise you.