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Richard - Bizlaw
Richard - Bizlaw, Attorney
Category: Business Law
Satisfied Customers: 10645
Experience:  30 years of corporate, litigation and international law
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what do they base on when assessing value of a company the

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what do they base on when assessing value of a company: the gross income or the net income ? And for how far back or forward on the company records do they need to have for the proof of income
What is the purpose of the valuation?
Customer: replied 6 years ago.


Customer: replied 6 years ago.

If you were going to determine value based on the income of the corporation, you would generally look at a 5-7 year historical period and you would value on net after tax income. A different set of income numbers might be used if this were a business acquisition but as it is not, this would provide a reasonable valuation.


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