Frequently asked valuation questions

Common triggers include acquisitions or disposals, financial reporting, fundraising, share transfers, option plans, tax, disputes, restructuring, financing, fund NAV, regulatory or board requirements. Purpose and intended users determine whether an independent report is appropriate.

The methods may overlap, but listed-company engagements often involve public disclosure, Listing Rules, tighter timetables and review by several professional parties. Private-company work may focus more on shareholder rights, limited marketability and information constraints.

The analysis should separate local and group drivers, currencies, tax, country risk, market comparables and asset locations. Mainland and overseas operations may require regional research and local-specialist coordination.

A focused engagement with complete information may be completed in a few weeks. Complex transactions, multiple assets, inspections, actuarial work, missing data or extensive review can take longer. Draft, review and final dates should be agreed at scoping.

Yes, depending on purpose and reliability. Audited statements are preferred where available, but current management accounts may be necessary to align with the valuation date. Reconciliations and limitations should be documented.

Not always. They are normally important for income approaches, impairment and many startup or transaction valuations. Asset or market approaches may be possible without full projections, but forward-looking context can still affect method selection.

Fees depend on purpose, subject, complexity, information quality, number of valuation dates, specialist inputs, deadline and expected reviewer support. A concise case background is needed for a meaningful quote.

Provide the purpose, target, business nature, approximate financial scale, information available, valuation date, deadline and reviewers or intended users. Add transaction terms, cap table, contracts, asset register or instrument terms where relevant.

The firms may have assumed different deliverables, senior involvement, methods, market research, sensitivity work, review support or professional risk. Compare scope and exclusions, and speak with the actual engagement leader.

The three broad approaches are income, market and cost or asset approaches. Methods include DCF, capitalised earnings, trading comparables, precedent transactions, adjusted net assets, relief from royalty, excess earnings, option pricing and simulation.

Enterprise value generally reflects operations available to debt and equity capital providers. Equity value is the residual attributable to shareholders after considering debt, cash and other financing or non-operating items. The bridge must be defined for the case.

Common information includes company and ownership documents, historical financials, forecasts, asset records, major contracts, financing terms, intangible-asset evidence and purpose-specific materials. See the dedicated information checklist.

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A typical structure may be discussed, but client reports are confidential and the report must be tailored to purpose, subject, standard, evidence and limitations. A generic or AI-generated template does not prove final quality.

Yes, when included in the engagement. Scope should define expected reviewers, response period and boundaries of support. Material changes in information, accounting treatment or purpose may require additional work.

Accounting-facing work must align with the applicable standard, unit of account, cash-flow basis, disclosures and audit evidence. A valuer with accounting knowledge can often reduce late rework and communicate more efficiently with auditors.

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AI can support document organisation, research summaries, data classification, formula checks and drafting. It should not replace source verification, method selection, judgement, professional scepticism or responsibility for the conclusion.

Only very roughly, and often unreliably. Without purpose, company scale, industry, data condition, complexity, reporting requirements, deadline and reviewers, an AI range may create the wrong expectation.

Only through approved tools and controls after reviewing data processing, retention, training and access arrangements. Avoid entering identifiable or non-public client information into uncontrolled public systems.

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