Does ValuAdder consider company-specific risk in calculating business value?
Yes! ValuAdder financial recasting worksheets let you determine the company-specific risk premium by ranking the business across ten key risk factors: • Earnings stability • Financial leverage risk • Operating risk factors • Profitability • Customer concentration • Product concentration • Market concentration • Competitive position • Quality of the management • Skill of employees Now you can determine the discount rate precisely to capture the overall risk of owning and operating the business. This is essential for getting a highly accurate business valuation. See how to build up the discount rate for your business valuation.
