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Financial Valuation Consulting: What it actually means?
Financial valuation consulting determines the value of businesses, shares or financial interests for transactions, financial reporting, tax, dispute or regulatory purposes. Consultants select appropriate methods (market multiples, precedent transactions, DCF, option-pricing for complex instruments), gather market evidence, normalise earnings and document key judgements. They also reconcile to accounting or tax requirements and prepare reports that can be shown to auditors, boards and counter-parties. This work is critical where value is not obvious — privately held companies, start-ups, intangible-heavy businesses, or complex shareholder arrangements. A well-argued valuation reduces the risk of challenge.
