Why You Need To Appraise Business Value

The Role of corporate valuation

Along with the rapid development of asset markets such as financial markets, stock markets ... Appraisal of business value and its benefits is increasingly playing an important role in the economy. It provides an overview of the value of a business. It is an important basis to serve the users of the given valuation results. To help solve and orient appropriately in the following major issues:

• As a basis for resolving and handling disputes arising among shareholders of the enterprise when distributing dividends, contributing capital, breaching contracts, ...
• As a basis for organizations, individuals and the public to make decisions to buy, sell or transfer securities issued by enterprises on the financial market; as well as a basis for merger, division, dissolution, liquidation, joint venture, ... enterprises.
• Help state management agencies to understand the situation of production and business activities and the value of enterprises to have specific management policies for each enterprise such as collecting corporate income tax, financial tax. production, other taxes.

Purpose of conducting enterprise price appraisal:

Help businesses have the necessary management improvement measures to improve the efficiency of production and business activities, control profitability of businesses.

Business valuation serves the following purposes:

• Borrow capital for business investment
• Tax
• Resolving and handling disputes
• Purchase, sale, merger, joint venture, liquidation of enterprises
• Investing, contributing capital, buying - selling securities of enterprises
• Equitization, listing securities on the stock market