11. How Can One Business Have More Than One Value?
Many business owners (and their advisors) are surprised to discover that a business can have more than one value! Value is defined differently in different legal contexts. It is not uncommon for the value of a business under one definition of value to be considerably more than it is worth under another definition of value. The quest for the appropriate definition of value in any particular legal context is often a very difficult one.
Experienced valuation analysts can be very helpful in dealing with the issue of defining value in different legal contexts. Most valuators are not attorneys, but in many instances the applicable law is intertwined with the business valuation. In these instances, the valuator can become a very valuable player on a lawyer's team.
Do you have a question about Business
Valuation? Please feel free to give me a call or send an email!