Discounted cash flow is the foundation on which all other valuation approaches are built. This method is commonly used by practitioners to derive a conclusion of value of an asset as part of the income approach, which is one of the three ways of approaching a business valuation. In this short article, we will explain […]
The income approach is one the most used methods to estimate the value of a business. Within this approach, there are two main methods, the discounted cash flow method and capitalization of cash flows method. In this post, we will take a closer look into how this approach works and what it means. What is the Income Approach? […]