Property & Business Valuation

A thorough business valuation will focus on a range of factors, depending on the business and industry. These include the company’s capital structure, its management, market value of its assets and forecasted future earnings. Our valuation and advisory experts look at every business as a unique entity. We choose the most suitable valuation approach in line with the requirements of our clients and the wider industry.

There are a range of factors that affect the value of commercial real estate properties, including:

• Location
• Size
• Age and condition
• Renovation / change of use potential
• Interest rates
• Potential rental income

Business owners can maximize the value of their commercial properties in a number of ways, including:

• Improving, refurbishing or renovating the property
• Increasing its size
• Increasing the rent for existing tenants
• Reconfiguring its use
• Reducing expenses, such as renegotiating service contracts or switching vendors
• Challenging the Property Tax assessment

A range of commercial property valuation techniques are used, including:

• Income approach – estimates the present worth of the rights to future benefits to be derived from the ownership of a specific interest in a property under given market conditions. The two methods under Income Approach are the Income Capitalisation Method and Discounted Cash Flow Analysis.
• Sales comparison approach – comparing similar commercial properties in the location, whilst also considering the unique characteristics of the property being valued.
• Cost approach – defining the cost of the land, plus the building’s construction.