Competitive Asset Management and Valuation Methods

asset management and valuation

Competitive asset management and valuation standards to ensure consistency in estimating the value of your assets in the different phases of your business life-cycle.

Stella consulting, applying two specific valuation methods,  determines the market value of your assets in any of the different phases of your business life-cycle: 

  • Profits approach which looks at the potential profitability of the business using the income capitalisation method or the discount cash flow method
  • Investment method based on the assumption that the annual income generated by the business is sustainable in the future.

Specific tailor-made financial analysis can also provide you with a wider range of hints you can use to support your strategic investment decision-making process:

  • Project valuation with two primary methods: the net present value  and the internal rate of return
  • Business performances analysis based on balance sheet and P&L ratios
  • Business performances recovering based on strategic KPIs

On top of the strategic reasons, used for internal puposes, there are other four reasons why valuations could be required: transaction advice (buy or sell a business), secured lending from a bank, fiscal (property taxation) and accounting (revaluation and depreciation calculation).

Knowing the inhert value of a commercial property, which refers to the value of the property to a given owner in absence of any consideration of the market exchange value, is not enough in today’s business environment. The market value of your business, as the expected price at which your assets can be sold under the actual market conditions, is a key component to preserve a consistent control over a competitive asset management and valuation strategy.

Changing markets and disruptive competitive forces can cause fluctuations in how a business is appraised affecting the relevant value of the business. Stella Consulting provides valuations and appraisals, with reliable opinions based on methodologies that have set the industry standards.