An owner joining or leaving
Assess a proposed interest before discussing price, funding and the practical terms of an ownership change. The share rights and any agreement between owners are important parts of the brief.
Valuation service
Business and share valuations
A business valuation gives owners and advisers a clearer basis for decisions about an enterprise or an ownership interest. The starting point is the decision you need to make: what is being valued, at which date, for whom and for what purpose. Evident Valuations works with business owners and professional advisers from Sydney, supporting engagements across Australia.
When it is useful
Decisions this valuation can support
Understanding current business value
Explore how earnings, customer concentration, management dependence and future investment needs affect value. This can help make planning conversations more specific.
A defined private shareholding
Distinguish the value of the whole business from the particular interest being valued. Cash, debt, share classes and the rights attached to that interest may affect the analysis.
Evidence and methods
How the value is assessed
The method should fit the business and the available evidence. An earnings approach considers maintainable returns; discounted cash flow examines forecast cash generation; market comparisons provide context from relevant businesses or transactions. An asset-based approach may be more useful for an asset-holding entity. Selecting a familiar multiple without examining the underlying business can miss important differences.
Read about our valuation approach and Calvin Lim’s experience.
Information we may need
- Recent annual financial statements and current management accounts
- Budgets or forecasts, with the assumptions behind them
- Share register, ownership structure and relevant shareholder agreements
- Debt, cash, related-party balances and significant asset details
- An explanation of unusual income, expenses and owner remuneration
What the work can deliver
The agreed output can explain the subject interest, valuation date, basis of value, information considered, methods, material assumptions and conclusion. Where the scope includes sensitivity analysis, it can show how the conclusion changes when key inputs change. State who needs to rely on the work so the report is prepared for its intended use.
Scope, fees and timing
The complexity of the ownership structure, quality of financial records, need to adjust earnings and availability of comparable evidence all affect the work required. A clear purpose and an organised initial information pack help establish a realistic scope, fee and timetable.
Related support
Explore connected valuation services
Real-property valuation, tax advice and legal advice require appropriately qualified advisers. Any reliance on other specialists is agreed within the engagement scope.
Practical questions
Frequently asked questions
Is a business valuation the same as a share valuation?
They are connected, but the subject is different. A share valuation considers a specified ownership interest and its rights. It is important to explain which shares are involved instead of assuming that every interest is simply a fixed percentage of a headline business value.
Can a previous valuation be used again?
It may provide useful background. Its date, purpose, information and permitted reliance need to be checked before it is used for a new decision. A change in trading, funding or ownership terms can require fresh analysis.
What should I include in an initial enquiry?
Describe the business, the interest involved, the reason for the valuation and any deadline. You can discuss the appropriate scope before compiling a full document pack.
Discuss the purpose of your valuation
Tell us the interest involved, the intended use and any deadline. We can then discuss scope and the information needed.