This value can be purchase value, accounting value, or market value (fair value).
The realization of the value of your assets and their determining is a prerequisite for asset management, and it generally gives an insight into new possibilities further to making business decisions regarding:

• potential business expansion
• entering new projects or new activities
• making of partnerships
• detecting potential synergies on the market
• sale/purchase of a company and its share
• sale/purchase of part of the business
• other

Business valuation is often mentioned as a separate discipline in scientific circles.

During the valuation itself, it is necessary to note that the estimated value is not an exact measure, but it represents the range of values of a certain company.

How Come?

The valuation is based on the assumptions of future operations of the company, and these assumptions which the future is planned on can significantly deviate from the achieved results. This is why it is necessary to conduct sensitivity analysis by which we arrive at the range of values of a certain company.