How to value a business
The process of estimating a company's worth is called a valuation. All aspects of a company are considered to arrive at an accurate assessment of the whole and its constituent parts. Many legal and financial situations call for an accurate assessment of a company's worth, such as during a sale, the distribution of partnership interests, taxation, or even a marital dissolution. Many business owners consult with outside valuation experts when trying to get a handle on how much their company is worth.