Valuations - Practical Business and Share Valuation Tips for Tax and Advisory Purposes

OBJECTIVES

• Provide an understanding of fundamental valuation concepts.
• Address common issues in valuation processes.
• Highlight differences in approach for tax and other purposes.
• Offer strategies to minimise risk when advising on valuations.

KEY TOPICS

• Introduction to Valuation

Definition of valuation and why it's important for unquoted shares and businesses.

• Overview of Valuation Methodologies
• Asset-Based Approach
• Income-Based Approach (Discounted Cash Flow)

Market-Based Approach (Comparable Companies and Transactions)

• Factors Affecting Valuation

• Approaches to Giving Advice and Minimising Engagement Risk

Identifying the Purpose of Valuation

Conducting Thorough Due Diligence

Managing client expectations

• Valuing Different Types and Sizes of Shareholdings

Majority vs. Minority Shareholdings

• • Control premium and minority discounts.
  • Valuation challenges for minority interests.

Preference Shares vs. Ordinary Shares

• • Different rights and preferences and their effect on valuation.

• Valuation for Commercial vs. Fiscal Purposes

Commercial Valuations

Fiscal Valuations

• Principles from Statute and Case Law

WHO SHOULD ATTEND

Partners, managers, and staff involved in business valuations for various purposes (e.g., sales, disputes, tax, etc.).