Definition : Goodwill

In order to be able to exercise his activity, an entrepreneur needs intangible elements (clientele) and tangible elements (equipment). It is this combination that creates the business.

How to estimate the value of your business ?

Usually, several valuation methods are combined to produce a weighted average. The choice of methods will depend on the sector and the characteristics of the sectors concerned. The most commonly used methods are the following:

- estimation by the value-in-use method

- estimation by the asset value method

- estimation by the comparative method

Why estimate your business ?

A business valuation is a step requested by many professionals in different cases as by the banker during a request for financing. It is also necessary at the time of a procedure of purchase or sale of the goodwill, an estimate of the heritage or still to prepare a succession or a divorce.

The strength of a XVAL valuation is the delivery of a detailed report, which justifies the choices made and the methods used (coefficient...) which will be the basis of any discussion with the buyer, the banker...

You wish to have your business valuedDo not hesitate to contact one of our experts: contact a XVAL consultant