Link to About American Business Appraisers, LLP of San Francisco Link to Business Valuation Services Link to Litigation Support Services Link to Business Consulting Services Link to Valuation Seminars Link to the Home Page of American Business Appraisers, LLP of San Francisco
American Business Appraisers, LLP of San Francisco
Link to Business Valuation Articles Link to Business Valuation Case Studies Link to Testimonials from Clients Link to a Sampling of Completed Transactions
 
         

  What is Investment Value Anyway?

Price Driven by Purpose of the Appraisal, Professional Standards, Appraiser Overhead

The International Glossary of Business Valuation Terms defines Investment Value as “The value to a particular investor based on individual investment requirements or expectations.” The Guide to Business Valuation Glossary adds the phrase “...as distinguished from the concept of market value, which is impersonal and detached.”

The idea of investment value is that it is not based on a hypothetical purchaser who represents a composite of all purchasers for value, but instead on the value to a specified individual with a specified set of investment criteria and especially those with the potential for synergistic value. It arises mostly where the appraiser is asked to estimate the value of a business entity to a potential purchaser who is known and identified at the outset. This might be the value, perhaps, of shares in a target company to its acquirer, where the merger of the acquirer and the target together will result in a combined value greater than the sum of the individual values.

 
   
Business Valuation Articles
 
 
  Good Business Intermediaries Can Attract the Right Investors
  Marketability Misconceptions
  More Marketability Misconceptions
 
 
  Selecting a Business Appraisal Firm
  Forensic Accounting in Divorce Matters
  Standard of Value is Everything!
  Why is the Date of Valuation Important?
  In re: Marriage of Duncan
  Why do we take a Minority Discount?
  What’s the Difference Between a Control Premium and a Minority Discount?
  What is “Fair Value” Anyway?
  Mart v. Severson
  ABCs of Appraiser Credentials
  “Core Earnings” Measure Alters Landscape
  What is USPAP?
  How Much Should a Business Appraisal Cost?
 
What is Investment Value Anyway?
  Mediation-Valuation gives parties opportunity to “work-through” valuation to reach compromise
  What is Forensic Accounting?
  Current Lessons for U.S. Equity Investors
  Apportionment Methods - Pereira-VanCamp
  Highest and Best Use..
  Minority Shareholder Oppression – Fraud Investigation
  What's Real?
  Report Types and Level of Service
  Testimony and the Valuation Expert
  The Art of the Deal
  INC. Magazine article: What is your company worth NOW?
 
American Business Appraisers, LLP
3800 Blackhawk Road, Suite 140, Danville, California 94506
Phone: (925) 964-0370 • Fax: (925) 964-0374
E-mail American Business Appraisers, LLP
  © Copyright American Business Appraisers, LLP ® All Rights Reserved