Special Cases of Business Valuation

This book is focused in general on the most critical issues usually encountered in the valuation of businesses and, in particular, in special cases of business Valuation.The first part of the book is a review of the most common methodologies and provides an overview of the state of art in their application, with particular attention to the most advanced techniques.The second part of the book is focused instead on business valuation in complex circumstances, involving, among others: M&A transactions, Shareholdings, Groups, Start-Up businesses, Small companies, Intangibles driven business. The debate on several issues in business valuation is still wide open and no definite position has been taken by scholars (e.g. if considering or not specific risk in cost of capital estimation, if and under which circumstances should discounts and premia be applied, etc.). Such critical issues are particularly important for special kinds of business valuation, like the ones cited above, where the peculiarity of the individual case widens the gap between reality and the theoretical assumptions underlying the valuation of businesses in ordinary situations. Possible approaches are proposed, with their strengths and weaknesses, to help practicing professionals who, like the author, are called upon every day to take a position to address real needs (e.g. issues of fairness opinions, appraisals, etc.), irrespective of progress made by research in that particular area. The main aim of the book is to offer practical approaches to help appraisers to define the best methodologies when they are faced with typical critical valuation issues related to real, elaborate cases.This book is therefore essential reading for all those involved in the valuation of businesses in complex situations but also for students of advanced corporate finance.