VALUATION SERVICES
Business Valuation Services
Pensar Valuation provides business valuation services to businesses, founders, investors and other stakeholders in Delhi/NCR and across India. Our valuation assignments support transactions, financial reporting, fundraising, restructuring and strategic decision-making, with each engagement tailored to its purpose and applicable requirements.
BUSINESS VALUATION
Value is
MORE THAN A NUMBER
BUSINESS VALUATION FOR INFORMED DECISION-MAKING
Understanding the value of a business is important when making strategic, financial, investment and transaction-related decisions.
Pensar Valuation provides independent business valuation services tailored to the purpose, nature and circumstances of each engagement. Our analysis considers financial performance, operating characteristics, industry dynamics, market conditions and other relevant factors to develop a reasoned assessment of value.
Depending on the assignment, business valuation may support transactions, financial reporting, regulatory requirements, shareholder matters, restructuring, investment decisions and other corporate requirements.
WHY BUSINESS VALUATION MATTERS
When Is a Business Valuation Required?
A business valuation may be required at different stages of a company's lifecycle.
The purpose of the engagement determines the scope, methodology and analysis required.
M&A & TRANSACTIONS
Supporting mergers, acquisitions, strategic transactions and value discussions between stakeholders.
REGULATORY REQUIREMENTS
Supporting valuation requirements arising from applicable tax, corporate and regulatory frameworks
INVESTMENT & FUNDRAISING
Helping businesses and investors understand value in connection with investments, fundraising and capital decisions.
DISCUSS YOUR INVESTMENT REQUIREMENT →
SHAREHOLDER & CORPORATE MATTERS
Valuation support for ownership changes, shareholder transactions, restructuring and other corporate requirements.
EXPLORE EQUITY VALUATION →
FINANCIAL REPORTING
Valuation support for applicable financial reporting and fair value measurement requirements.
EXPLORE FINANCIAL REPORTING →
STRATEGIC DECISION-MAKING
Providing an analytical basis for evaluating strategic alternatives, business decisions and value creation opportunities.
DISCUSS YOUR REQUIREMENT →
Our Approach.
Our Business Valuation Approach
Every valuation engagement is shaped by its purpose, the characteristics of the business and the information available. Our approach combines structured analysis with professional judgement to develop a reasoned valuation conclusion.
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DEFINE
ANALYSE
ASSESS
CONCLUDE
REPORT
Understand the purpose
Understand the business
Select appropriate methodologies
Develop the valuation conclusion
Establish the valuation objective, relevant date, scope and engagement requirements.
Review financial performance, operations, industry dynamics, market conditions and key value drivers.
Determine valuation approaches and methodologies appropriate to the nature and purpose of the engagement.
Apply relevant assumptions, analysis and professional judgement to arrive at a reasoned conclusion of value.
Document the analysis
Present the relevant methodology, assumptions, analysis and conclusion in an appropriate report format.
VALUATION METHODOLOGIES
Approaches to Business Valuation
The appropriate valuation methodology depends on the purpose of the engagement, the nature of the business, the availability of information and the characteristics of the subject interest. Depending on the circumstances, different valuation approaches may be considered and applied.
INCOME APPROACH
Valuing a business based on its expected economic benefits
The Income Approach considers the future economic benefits expected to be generated by a business and their value as of the valuation date.
Common methodology:
Discounted Cash Flow (DCF)
MARKET APPROACH
Valuing a business with reference to market evidence
The Market Approach considers relevant market data and valuation multiples observed in comparable companies or comparable transactions, where appropriate information is available.
Common methodologies:
Comparable Companies Comparable Transactions
ASSET APPROACH
Assessing value with reference to underlying assets and liabilities
The Asset Approach considers the value of the underlying assets and liabilities of a business, with adjustments made where appropriate based on the purpose and circumstances of the valuation.
Relevant considerations:
Asset Values
Liabilities
Adjustments
The appropriate methodology depends on the circumstances.
The appropriate approach is determined based on the purpose of the valuation, the characteristics of the business and the information available.
KEY VALUE DRIVERS
Factors That Influence Business Value
The value of a business is influenced by a combination of financial, operational, industry and market factors. The relevance of each factor depends on the nature of the business and the purpose of the valuation.
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FINANCIAL PERFORMANCE
Revenue, profitability, cash flows, margins, historical performance and financial trends.
03
INDUSTRY & MARKET CONDITIONS
Industry outlook, market dynamics, competition, demand conditions and relevant economic factors.
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ASSETS & LIABILITIES
Relevant operating and non-operating assets, liabilities, capital structure and other balance-sheet considerations.
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GROWTH & FUTURE PROSPECTS
Expected growth, business plans, scalability, competitive position and future earning potential.
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BUSINESS & OPERATING CHARACTERISTICS
Business model, customer concentration, operational capabilities, management, geography and key dependencies.
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RISK & UNCERTAINTY
Business, financial, market and other risks that may affect expected future economic benefits.
No single factor determines business value.
A valuation considers the factors relevant to the subject business, valuation purpose and circumstances of the engagement.
VALUATION DELIVERABLES
What a Business Valuation Can Support
A business valuation may provide an analytical basis for a range of financial, strategic, transaction and corporate decisions. The scope and reporting format depend on the purpose and requirements of the engagement.
01
TRANSACTIONS & M&A
Supporting negotiations, acquisitions, disposals, mergers and other strategic transactions.
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CORPORATE & SHAREHOLDER MATTERS
Supporting ownership changes, shareholder transactions, restructuring and other corporate requirements.
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FINANCIAL REPORTING
Supporting applicable fair value measurement and financial reporting requirements.
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INVESTMENT & STRATEGIC DECISIONS
Providing an analytical basis for investment, fundraising, business planning and strategic decision-making.
