How to value a company? Start by saying that the value depends on a number of internal and external characteristics . His estimate will influence the selling price, its eventual transformation and the interest of investors and shareholders . It will also help to properly divide the shares between shareholders and owners .

Estimate exactly the value of a company is for first thing to avoid the danger of overstatement. Sometimes it may happen that the owners mistakenly believe that your company can go to the top of the market. The direct consequence is that it will be very difficult to find a buyer or a successor. If the contract of sale brings an excessive price, the contractor will be found at a high risk of failure, with the likely closure of the company. This is especially true for small-scale family. The areas most overvalued are usually internal accounting and organizational structure.


To have an objective assessment, you will need to take into account objective criteria. Among them we mention the turnover, the division of the shares, the amount of earnings, the progressive growth of the assets, innovations and implementations included in the course of time, the size of the firm and the degree of superiority over the competition. Also we should not forget other factors such as the number of buyers are really interested (with their relative propensity to risk percentage) and the financial situation of the owner.

When determining the selling price or transaction, it is important to proceed in a rational and careful. You should then rely on the Inland Revenue’s own area, which will assess the question of the rights of the transferor and the portions that actually holds. These rights vary according to the actual value of ‘ enterprise itself. If it is not equal to the quota given business at the time of the transaction, it is very likely that you will incur the payment of taxes on inheritance or gift, especially if buyers are family members of the owner or partners . To avoid unpleasant surprises, it is therefore useful to ask for expert advice from a lawyer, who will enter into a contract full of all the clauses required .