Business Valuation - Asset Approach

This course provides a comprehensive introduction to the business valuation process, beginning with key terminology, professional standards, and the rules that guide the appraisal profession. Participants will explore the three primary approaches to value—Asset, Income, and Market—before focusing in depth on the Asset Approach. The course examines when and why this method is used, its advantages and limitations, and how to apply it effectively in real-world scenarios. Through practical examples and clear explanations of each of the three methods within the Asset Approach, learners will gain both the confidence and competence to apply valuation principles in their professional practice.

Basic Course Information

• Describe the structure and purpose of professional organizations within the appraisal profession.
• Explain the Uniform Standards of Professional Appraisal Practice (USPAP), including its five Rules and ten Standards.
• Define key terms and concepts unique to the field of business valuation and appraising.
• Outline the components of a professional valuation report and understand its required structure.
• Differentiate among the three main approaches to valuation—Asset, Income, and Market—and identify when each is most appropriate.
• Apply the Asset Approach in practice by using and comparing the Capitalized Excess Earnings, Book Value, and Asset Accumulation methods.
• Evaluate the strengths and limitations of the Asset Approach relative to other valuation methods.

• Fundamentals of Business Valuation and Appraisal Standards
• The Asset Approach: Methods, Applications, and Analysis