25 Factors Affecting Business Valuation

Return on Investment (ROI)

There may or may not be a return on investment. The experienced entrepreneurial valuator may find the subject company was focused on building up assets rather than returning immediate dividends. The experience of some amazing entrepreneurs at Amazon or Apple have shown us that building assets is not a bad thing. The experienced entrepreneurial valuator will be looking further than just the basic P&L. This is especially necessary in the case of a divorce in identifying, weighing, and measuring these assets at "fair market value" as required by the Canada Income Tax Act Policy Paper.