A valuation is an assessment of the value of an asset or a business. A valuation document is a document that outlines the methodology, assumptions, and conclusions of a valuation. Some examples of attributes that may be included in a valuation document are:
|Purpose||The reason for the valuation and the goals it is intended to achieve.|
|Scope||The boundaries and constraints of the valuation, including the assets or businesses being valued and the time period being considered.|
|Valuation date||The date on which the valuation is being performed.|
|Valuation standard||The principles and guidelines being used to perform the valuation, such as the International Valuation Standards or the Generally Accepted Accounting Principles.|
|Valuation method||The specific techniques and approaches being used to determine the value of the assets or businesses.|
|Assumptions||The key assumptions and estimates being made as part of the valuation.|
|Data sources||The sources of information being used to support the valuation.|
|Conclusions||The results of the valuation, including the value of the assets or businesses being considered.|
|Limitations||Any limitations or uncertainties that may affect the accuracy or reliability of the valuation.|
Valuation documents are an important resource for individuals and organizations that need to understand the value of an asset or business. They can be used for a variety of purposes, such as setting the price for a sale or purchase, evaluating investment opportunities, or determining the value of collateral for a loan.
Having a reliable platform like Hypervault for storing valuations will allow you to have peace of mind that your financial data won’t fall into the hands of unauthorized people. The cost of that safety won’t weigh up to the price of thefts.