II. tools, methods and techniques of financial management. Approaches and methods of valuation, types and standards of value What is not a value standard

Generally accepted cost standards in the valuation of an enterprise are a set of valuation requirements. There are four main standards for assessing an enterprise:

1) reasonable market value;

2) reasonable cost;

3) investment value;

4) internal (fundamental) value.

All of these standards assume that the assessment is done based on the so-called free, not forced (including administrative interventions), transactions for the acquisition of an enterprise or its shares.

The main differences between these standards are as follows.

Standard reasonable market value assumes that the valuation of the enterprise ( investment project) is made on the basis of information (on property, on the current and forecast market conditions and purchased resources, business opportunities, etc.), which is equally available to any potential buyer and seller of the enterprise, to any investor. The business opportunities of any potential investor, in particular, project financing, sales, are also considered equal and unlimited.

Standard reasonable cost involves the assessment of the enterprise on the basis of the specified information equally accessible to the specific buyer and seller of the enterprise. Their business opportunities are also assumed to be the same.

Standard investment value involves the evaluation of an enterprise (investment project) only on the basis of the awareness and business capabilities of a particular investor (hence, according to this standard, the evaluation of the same project will be different for different potential investors).

Standard intrinsic (fundamental) value involves the assessment of the enterprise (project) by a third party independent appraiser on the basis of his own awareness and understanding of the investor's business opportunities (which does not exclude the provision to the appraiser, at his request, of the information necessary for the assessment, which he will correct).

The classification of enterprise value standards, taking into account the completeness and reliability of the information required for the assessment and its availability for a different circle of market participants, can be reflected in the one shown in Fig. 1.2 coordinate system (the sufficiency of information here is understood as the sufficiency for the application of one or another method of assessing the enterprise).

In addition to generally accepted international standards, individual countries develop and approve national standards for enterprise valuation, which play the role of regulatory methodological documents. They are also framework, they do not dictate the method of evaluation for each specific case. However, these national standards purport to streamline the methods of calculation for different methods of enterprise valuation and the terminology used.

Generally accepted cost standards in business valuation are sets of valuation requirements.
There are four main business valuation standards;
reasonable market value;
reasonable cost;
investment value;
intrinsic (fundamental) value.
All of these standards assume that the valuation is done based on the so-called free, not forced (including those or other administrative interventions), transactions to acquire a business or its shares.
In particular, the buyer cannot be required to repay capital investments in the enterprise's investment projects that were previously started in order to receive subsequent significant positive flows. Under the conditions of a free transaction, the buyer of an enterprise (a block of its shares) is ready to pay for it (the corresponding block of shares) to the maximum exactly as much as he himself can receive from profits for the entire period of operation of the acquired business ( cash flows) of the acquired business.
The main differences between these standards are as follows.
The reasonable market value standard assumes that a business (investment project) is evaluated on the basis of information (about property, current and forecast market conditions and purchased resources, etc.), which is equally available to any potential buyer and seller of a business, to any investor. The business opportunities of any potential investor (in particular, project financing, sales) are also considered equal and unlimited.
The standard of fair value involves the valuation of a business on the basis of information that is equally accessible to a particular buyer and seller of the business. Their business opportunities are also assumed to be the same.
The investment value standard assumes the valuation of a business (investment project) only on the basis of the awareness and business capabilities of a particular investor (hence, according to this standard, the valuation of the same project will be different for different potential investors).
The standard of internal (fundamental) cost involves the valuation of a business (project) by a third-party independent appraiser based on his own knowledge and ideas about the business opportunities of the investor (which does not exclude the provision to the appraiser, at his request, of the information necessary for the assessment, which he will correct).
It is generally considered that the most Objective assessment business (project) as such (regardless of who will run the business - implement the project) meets the standard of reasonable market value. At the same time, the most practical is the standard of investment value, which takes into account that in practice it is difficult to separate the assessment of the project as such from its capabilities. the best way evaluate and implement that a particular investor possesses.
The influence of business valuation standards is most pronounced when forecasting cash flows (profits and losses) for the project. In terms of determining the discount rate, the impact of these standards is related to the extent to which commercial and financial information on the level and volatility of income from investments in the industry in question.
If the valuation uses only publicly available information of this kind, then the valuation is more likely to meet the fair market value standard. If non-public information is used, the valuation is more likely to meet the standard of investment value.
The fair market value standard, although it may seem too theoretic, is already used in the world (mainly in the Anglo-Saxon countries) to determine the taxable base for property tax in part financial assets enterprises that have on their balance sheet shares of closed subsidiaries. At the same time, the relevant laws require that the specified taxable base be the justified market value of affiliated closed companies, determined by special business valuation methods, proportionally reduced in accordance with the share of the parent company in the subsidiary.
This requirement determines that Western corporations-taxpayers are forced - in order to protect themselves from claims tax office- involve prestigious appraisal firms, most often large audit companies, in the assessment of the reasonable market value of their subsidiaries and controlling stakes in them.
The fair value standard is most applicable in Western practice when minority shareholders contest through the courts transactions for the purchase of shares from them by larger shareholders of the same enterprises on the basis of claims against the latter regarding non-compliance with the contractual sale price of the specified standard. The claim is that the majority shareholders in such cases often do not provide the transaction counterparty (minority shareholder) with the information about the true market prospects of the enterprise and the true market value of its property, from which they themselves proceed when determining the maximum allowable prices for the company's shares. Proven such information asymmetry can lead to the cancellation of the transaction in question.
Obviously, this situation has direct analogies in domestic practice, when more major shareholders and managers of privatized enterprises, on the basis of similar information asymmetries (often exacerbated by the dissemination of false information about the underestimated prospects of the company), buy small blocks of shares from employees of privatized enterprises, who, moreover, are delayed in paying wages.
The investment value standard assumes that business valuation is carried out on the basis of awareness of the property and market prospects (in sales markets and markets for purchased resources) of the enterprise of its specific investor (buyer or seller). The business opportunities of a specific investor also play a role - assets that he has outside the scope of a transaction for the sale and purchase of an enterprise (increasing its value "in the eyes" of such an investor) that can be used to develop a business instead of allocating special financing for the purpose of their acquisition or self-creation. The creative possibilities (business fantasy) of the investor are also important, etc.
Just as an electric current will flow between the poles when there is a potential difference between them, so the transaction for the purchase and sale of an enterprise (a block of its shares) will take place under conditions when the investment value of the same enterprise from the point of view of the seller is lower, than its investment value from the buyer's point of view.
The investment value of the enterprise from the point of view of an external investor-buyer is called the external value of the enterprise.
The investment value of an enterprise from the point of view of its current managers is called the value of the enterprise *as is.
The standard of the internal (fundamental) value of an enterprise requires that the business be valued not only on the basis of information from an independent analyst, who must take into account in this assessment all the factors affecting the assessment, but also taking into account the fact that the specified analyst is not forced to request information from one of the interested in the assessment of the parties (seller or buyer of the enterprise), thereby exposing themselves to dependence on it.
The practical conclusion from the above is that an independent analyst (appraiser), in order to meet the standard of internal (fundamental) value, must have his own experience in the industry of the enterprise in question and his own independent information about it.
The standard of internal (fundamental) cost also assumes that the enterprise in question should be evaluated by all existing methods of business valuation - with the final assessment as a weighted average of all assessments determined by different methods (where specially justified coefficients of the appraiser's confidence in the results of applying that or another method of evaluation in a particular evaluation situation).

In the business valuation process, one of the most important issues is the establishment of a standard or type of value to be assessed.

Standards or types of value are the terms or concepts of value that the appraiser must adhere to in the course of his activity.

AT Russian legislation the concept of "cost standard" replaces the term "value type". The types of value obligatory for Russian appraisers are enshrined in the Law “On Appraisal Activities” and in Decree of the Government of the Russian Federation No. 519 “On Approval of Appraisal Standards” dated 06.07.01.

According to the data regulations the whole set of types of costs is divided into:

· the market value of the appraisal object (equivalent to the standard of reasonable market value in the American appraisal activity);

types of values ​​other than market value.

1. Market value – basic standard or type of value.

Art. 3 of the Law "On valuation activities in the Russian Federation" states:

“... the market value of the appraisal object is understood as the most probable price at which this appraisal object can be alienated on the open market in a competitive environment, when the parties to the transaction act reasonably, having all the necessary information, and any extraordinary circumstances are not reflected in the value of the transaction price , that is, when

one of the parties to the transaction is not obliged to alienate the object of assessment, and the other is not obliged to accept the performance,

the parties to the transaction are well aware of the subject of the transaction and act in their own interests,

the object of evaluation is presented to the open market in the form public offer(Written or oral or resulting from the behavior of the offering party - the offeror - a message about the desire, offer, to enter into a legally binding contract, and from the terms of this message it is clear or implied that it will bind the offeror as soon as the party - the acceptor to whom the offer is addressed accepts it action, refraining from action or counter-obligation),

the transaction price is a reasonable remuneration for the object of evaluation and there was no coercion to conclude a transaction in relation to the parties to the transaction from either side,

payment for the object of assessment is expressed in monetary terms.

In essence, it is a compromise price, and in the literature it is very often called equilibrium price . The concept of reasonable market value is oriented towards the future, that is, on the assessment of the real value of future income, including the residual value of this object.

2. Investment cost – is the value of the business for a particular buyer. It is formed on the basis of the goals, objectives, prospects pursued by this particular buyer (investor).

Reasons for differences between fair and investment value:

Differences in the assessment of the amount of profit (future profitability);

Differences in the assessment of the risk associated with doing business (a potential investor may have greater resources and solvency than the current owner, and, accordingly, a number of risks for a new investor will not exist);

differences in tax status(a particular investor may have certain tax incentives, which will also be reflected in the new object);

· synergistic effect, that is, the effect of a merger with other assets controlled by a particular investor - as a result, the total value of the two packages will be more than the mathematical sum of their values.

Investment value is not a hypothetical value. It comes from the plan of the investor, taking into account the principle of the most effective use.

3. Intrinsic fundamental value – rare in practice; applied when it is assumed that the shares open company are underestimated by the market due to some objective circumstances. The basis of the definition is to identify the internal potential of the business.

In accordance with this standard, the value of a business is determined on the basis of the following assumption: if something can be done to increase the value of a business based on its internal potential, then it will be done. The intrinsic value does not depend on how these characteristics correspond to the goals of a particular investor, but on how they are interpreted by one analyst or another.

4. Residual value is the amount of money that can realistically be obtained from the sale of the property in a period insufficient for adequate marketing. It is applied in case the termination of business (closing of the enterprise) is supposed.

It is determined as the difference between the revenue expected from the sale of the enterprise's assets on the market and the costs of liquidating the enterprise (commissions, expenses for the implementation of the enterprise's activities until its liquidation, expenses for legal, accounting services, etc.)

Usually, liquidation value significantly less than the cost of an existing enterprise.

Other types of value - insurance, taxable, disposal, balance sheet, collateral, rental, effective, capitalized, etc.

1.1. Goals, objectives and main areas of application of business valuation

A serious problem in the implementation of financial investments is the assessment of the market price of shares of closed joint-stock companies or small open joint-stock companies, which, by their status or size, are not participants in the organized exchange or over-the-counter securities market.

A similar problem arises when assessing the market value of the shares of newly created companies as a result of mergers or acquisitions, when the issue of a “fair” distribution of the shares of the newly created company among the shareholders of the reorganized enterprises becomes extremely important. In this case, the task is to assess the contribution of each company to the creation of the value of the new company, which serves as the basis for the exchange of shares in agreed proportions.

As practice shows, the purchase of controlling stakes large companies and on open markets is often carried out not in the form of cash settlements, but in the form of an “exchange” of shares of buyers and sellers companies.

The need for assessment procedures is also identified current legislation. Thus, according to the Federal Law "On joint-stock companies» dated December 26, 1995 No. 208-FZ, shares are redeemed by the company at their market value. In accordance with the above law, when issuing permission to issue new shares, a check is carried out: what is the ratio of the book value and market value share capital issuing company.

If the market (estimated) value of the share capital of the corporation is greater than the book value net assets company, then the issue of new shares is allowed, and by the amount of the identified excess.

If this difference is negative, then the value of the equity (authorized) capital of the company should be reduced by the amount of this difference with a corresponding adjustment of the book value of assets and, in particular, intangible assets.

The need to determine the market value of a company is one of the most important management tasks for arbitration (anti-crisis) managers appointed by a court decision during bankruptcy proceedings, when the debt to creditors is carried out through the sale of part or all of the property of the bankrupt company.

This takes into account the following aspects:

a) the price at which the company or shares in it will be offered for sale must not be underestimated, as this would cause direct property damage to the bankrupt's creditors. It consists in the fact that the proceeds from the sale will cover a smaller part of the debts of the insolvent company and its creditors will not be fully compensated for these debts;

b) the specified price should not be overstated, because in this case the creditors of the bankrupt will suffer damage, which consists in the untimely receipt or non-receipt of compensation for debts due to the inflated offer price for the company being sold;

c) if potential buyers (investors) are known, the evaluation of an insolvent company preparing for sale should be carried out not in general, but in relation to the proposed plans, business opportunities and awareness of specific investors, i.e. for different investors it can be different.

The task of business valuation in relation to the process of reorganization of financial crisis companies is to predict its market value after the planned set of measures for financial recovery and restoration of its solvency is completed, i.e., to predict the future market value of the company after the period allotted for rehabilitation.

An assessment of the market value is also necessary when preparing for the sale of privatized state enterprises(or blocks of their shares still owned by the state) in this case has the same features that were noted in connection with the preparation for the sale of bankrupt companies.

The differences are that:

• companies being privatized are not necessarily bankrupt (although in some cases they are actually approaching insolvency or may already be in fact insolvent); more often they are normally working or able to work normally;
• proceeds from the sale of privatized companies or privatized state blocks of shares are not sent to the company's creditors, but to the former owner, i.e. the state (to the federal or local budgets);
• the probability of an unconscious or even conscious (under pressure from interested parties) underestimation of the value of objects put up for sale increases.

Therefore, when justifying the sale price (including the starting price at the auction) of privatized companies and their individual packages, one should be guided by the standards and methods of business valuation accepted in world practice, and bidders should determine for themselves the range of the market purchase price within which investments will be effective.

Sale of shares and units of companies not listed on an organized stock exchange or over-the-counter markets, is a rather difficult task of coordinating the investment interests of the buyer and the seller, requiring special valuation procedures to determine the market value of both the company itself and a specific package.

Thus, about market value assessment (business valuation) corporate organizations is a specialized area investment analysis, the main purpose and task of which is to determine the market value of packages or participations in companies in the course of transactions for the purchase, sale or issue of their shares.

Business valuation is not a rigidly formalized procedure; its task is to determine the valuation interval within which the sale-purchase of the evaluated block of shares or a stake in the company being valued can be carried out.

The procedure for assessing the market value involves taking into account the following fundamental points:

• the market value of equity is not the book value of the company's net assets;
• the assessment is not based on the performance of the past, it is based on the future expected results (profitability) of the company;
• in the assessment, the company is considered as operating, i.e. having the necessary resources for a successful entrepreneurial activity;
• the valuation is not the same for each buyer - the value of the company is different for each individual buyer;
• it is not unambiguous for the time of the assessment - an assessment for a specific date or a series of dates, at the time of a certain event (signing a long-term contract, completion of an investment project).

In accordance with the Federal Law "On valuation activities in Russian Federation"dated July 29, 1998 No. 135-FZ. In practice activities professional appraisers business, the following business standards are widely used to assess the value of controlling and non-controlling stakes in an enterprise.

Fair market value standard

Fair market value is a widely accepted and recognized valuation standard.

The generally accepted definition reasonable market value is the price, expressed in monetary units or in monetary terms, at which the property would pass from the hands of the seller to the hands of the buyer, if they mutually desire to buy or sell, sufficient knowledge of all the facts relevant to the transaction, and neither of the parties to the transaction would be compelled to buy or sell.

It is also generally accepted that this definition implies the ability and willingness of the parties to buy or sell. In determining fair market value, a market should be understood to mean all potential sellers and buyers of similar types of enterprise or practice.

In accordance with the legal interpretation of the fair market value, the voluntary seller and buyer are hypothetical persons entering into a transaction "at arm's length", and not any "specific" entities. In other words, if the price is influenced by interests that are not characteristic of a typical buyer or seller, then it may not reflect a reasonable market value.

Fair market value is widely used in the United States for federal and state gift and inheritance taxes.

Investment Value Standard

Investment value is the specific value of the enterprise for a specific investor (or group of investors), based on his personal investment goals.

If as a result of in-depth analysis it turns out that at a certain point in time the investment value of the object for a particular owner exceeded its market value, then the rational decision for this owner would be to refuse to sell until a buyer is found for whom the investment value of the object will be above appraised value for most typical buyers.

The term "investment value" has a slightly different meaning when applied to litigation to protect non-controlling shareholders. In these cases, it means the value determined by the return on the asset, except to the extent that the relevant discount or capitalization rate is considered to be a rate that is common to most market participants and not suitable only for any particular investor.

Intrinsic or fundamental value standard

Intrinsic value differs from investment value in that it is the result of analytical judgments based on the identified intrinsic characteristics of the investment. Intrinsic value does not depend on how these characteristics correspond to goals specific investor, but on how they are interpreted by one or another analyst.

intrinsic value ordinary shares- the justified share price, in determining which all the main cost factors are taken into account.

This is the real value of the shares as opposed to their current market price. This is a subjective value in the sense that to determine it, the analyst needs to use his knowledge, life experience and professional skills and, as a result, estimates of intrinsic value will be different for different analysts.

A financial manager evaluates intrinsic value by carefully considering the following fundamental factors that affect the value of common stock:

1. The value of the firm's assets. The tangible assets owned by the enterprise have a certain market value. In the liquidation approach to valuation, assets acquire great importance, when using the same technique for assessing an enterprise as an operating one, assets are usually not evaluated separately.
2. Probable future profit. A firm's expected future earnings are the most important specific financial factor influencing the intrinsic value of common stock.
3. Likely future dividends. The company may pay out its profits in the form of dividends or may retain them in order to finance its growth and expansion, dividend policy firms affect the intrinsic value of its shares.
4. Likely future growth rates. A firm's future growth prospects are carefully assessed by investors and are a significant factor influencing intrinsic value, especially the value of minority stakes.

If the market value falls below the analyst's defined intrinsic value, then the analyst believes that these shares are “good buys”, if the market value is higher than the estimated intrinsic value, then the analyst proposes to sell the shares.

Reasonable Cost Standard

Fair value remains the statutory standard used in valuation in cases related to the protection of the interests of owners of non-controlling interests.

Subject to applicable law, in cases where the Board of Directors or the Meeting of Shareholders decides to merge with another company, or sell off its assets, or takes some other decisive action, and the holder of a minority stake believes that he is being forced to receive an unacceptably low consideration for shares, this the shareholder has the right to demand through the court to evaluate his package at market value in order to obtain a reasonable market price for it.

The usual distinction between fair value and fair market value is that when deciding on the valuation of shares of closed companies, most courts do not allow for their illiquidity, while under the fair market value standard such a discount is almost always made. .

As a result of the implementation of valuation procedures, as a rule, the internal, sometimes called fundamental, market value of the company is determined, which is the result of analytical judgments of a specialist appraiser based on the identified internal characteristics of its activities. Intrinsic value does not depend on how these characteristics correspond to goals specific investor, but on how they are interpreted by one or another independent appraiser.

When conducting valuation procedures, it is important to keep in mind the following concepts and assumptions:

1. The concept of going-concern value is not a cost standard, but an assumption about the state of the enterprise. It only means that the enterprise is evaluated as a viable functioning economic unit which has its own assets and inventories, a permanent workforce, carrying out business operations and is not under the immediate threat of cessation of work.
2. The concept of salvage value is the exact opposite of going concern value. Liquidation value means the net amount that the owner can receive from the liquidation of the enterprise and the separate sale of its assets. . Term orderly liquidation(orderly liquidation) means that assets are sold within a reasonable period of time in order to obtain the highest price for each type of asset. Term forced liquidation(forced liquidatoin) means that assets are sold as quickly as possible, often at the same time and in the same auction. When calculating the liquidation value, it is necessary to take into account all the costs associated with the liquidation of the enterprise. As a rule, these expenses include commissions, administrative costs of maintaining the operation of the enterprise until the completion of its liquidation, taxes, as well as payment of legal and accounting services. In addition, when calculating the present value of an enterprise as a liquidated enterprise, it is necessary to discount the expected net proceeds from the sale of assets at a rate that takes into account the associated risk, from the time the net proceeds are expected to be received to the valuation date. Accordingly, the liquidation value of the enterprise as a whole is usually inferior to the amount of proceeds from the sale of its assets.
3. The concept of book value) is sometimes used incorrectly because it is not a value standard, it is an accounting term, not an estimated one. The term book value means the sum of the accounts of its assets determined on the balance sheet of the enterprise, less depreciation deductions, as well as liability accounts. Assets are usually valued at cost to acquire them, less depreciation determined by one of several different methods, some assets may be written off entirely. Liabilities are usually carried at their nominal value. Intangible assets, as a rule, are not reflected in the balance sheet, except for those cases when they were purchased or the costs of their creation were taken into account. Therefore, the book value does not reflect, as a rule, the market value of the enterprise.

1.2. Basic methodological principles and approaches to assessing the market value of enterprises

The theoretical basis of the enterprise valuation process is a set of valuation principles formulated as a result of many years of experience of domestic and foreign appraisers. The principles of enterprise valuation can be divided into four categories:

1. principles of the user by the enterprise;
2. principles related to the valuation of land, buildings, structures and other property constituting a single property complex of the enterprise;
3. principles related to the external market environment;
4. best and most efficient use principle property complex enterprises.

As shown in Figure 1, all these principles are interrelated. When analyzing financial and economic activities and evaluating an enterprise, all the principles of evaluation should be involved, but they can be used with varying degrees of significance. The degree of significance of each valuation principle is determined by the specific situation that develops in the valuation of a particular enterprise (for example, the implementation of certain principles of valuation of an enterprise may be hindered by the position of municipal authorities or the imperfection of legislative and regulatory acts in force in this region Russian Federation).

Rice. 1. The relationship of the principles of enterprise valuation

Enterprise User Principles.

The enterprise user principles include the principles of utility, substitution and expectation.

The principle of utility. An enterprise has value only if it can be useful to a potential owner. An enterprise can be useful only insofar as it is necessary for the implementation of a socially useful function - the production of a certain type of product on the market and making a profit.

Utility is the ability of an enterprise to satisfy the needs of the user of the enterprise in this place and over a certain period. In the case of an income-generating enterprise, the satisfaction of the needs of the owner of the enterprise, in the final analysis, is usually expressed in the form of a stream of cash income received by him.

substitution principle. This principle states that a reasonable buyer would not pay more for an enterprise than the lowest asking price for another enterprise with the same degree of utility. This means that it is unreasonable to pay more for an existing enterprise than it costs to create a new similar enterprise in a reasonable time frame.

The principle of expectation. In most cases, the utility of an enterprise is associated with the expectation of future profits. For operating enterprises that generate income, their value is often determined by the mass of expected profits or other benefits that can be obtained from the use of the property of the enterprise, as well as the size Money in case of resale.

Principles related to the valuation of land, buildings, structures and other property constituting a single property complex of an enterprise.

The principle of residual productivity of the land. Residual productivity is defined as net land-based income after labor, capital and management costs have been paid. Residual productivity, characterized by the location of the land, allows the user to maximize profits, minimize costs and meet special needs (or a combination of these three conditions).

Contribution principle. The contribution is the amount by which the value of the enterprise or the net profit received from it increases or decreases due to the presence or absence of any improvement or addition to the existing factors of production: labor, capital, management, land.

Principle of Increasing or Diminishing Returns. As resources are added to the main factors of production, net profit tends to increase at an increasing rate until a certain point, after which the total return, although growing, is at a slower pace.

The principle of balance (proportionality) of the enterprise. Any type of production corresponds to the optimal combination of factors of production, in which the maximum profit is achieved.

The principle of optimal size (scale). Any factor of production must have optimal dimensions (the optimal capacity of the enterprise or its individual components of production, or optimal size land) that ensure maximum profit from the operation of the enterprise in accordance with market conditions in the region.

The methodological basis for business valuation is the assessment of the present and future income of the company. What does the buyer acquire by buying a block of shares or equity participation in the company? Control? Markets? Technological experience? Products? While each of these items may be relevant to the answer to this question, what is actually being bought is a stream of future net income. Thus, the problem that needs to be solved in the evaluation of the acquired company, and in many other cases, is to forecast future net income and estimate their current value.

There are the following sources of income from equity participation in the company:

1. Net profit or cash receipts:

from operations;

From investments (received interest and / or dividends).

2. Sale or pledge of assets.

3. Sale of equity participation in the company.

Therefore, in any approach to evaluation, the central task (with financial point vision) should become quantitation those incomes that can be received by a member of the company from one or more of the listed sources.

In addition, the opinion on the value of ordinary shares may be influenced by such factors as: 1) the size of the estimated share - a controlling or non-controlling (minority) stake; 2) voting rights; 3) liquidity of shares; 4) provisions restricting property rights; 5) special privileges related to ownership or management.

The key external variable in the assessment process is cost of capital (WACC), considered as the level of required income necessary to attract investment in the company being valued, which depends on the general level of interest rates and the market risk premium.

From the point of view of predicting future profitability, methods for assessing the market value of a company can be divided into two groups:

• first group- assessment of the profitability of existing and possible future areas of activity (business lines) of the company - income capitalization methods and discounted future income methods;
• second group- valuation of a company as a specially formed property complex that generates income, - the method of an analogue company and the method of accumulating assets.

The most commonly used approaches to business valuation can be classified into the following categories:

• capitalization of current, normalized or retrospective profit;
• capitalization of current, normalized or retrospective cash flow;
• capitalization of dividends or potential dividends;
• discounted future earnings or discounted cash flow;
• the multiplier of the annual gross income or operating profit of the enterprise;
• adjusted net asset value;
• a method for calculating excess profit and the value of intangible assets.

1. On the approval of assessment standards. Decree of the Government of the Russian Federation of July 6, 2001 No. 519.
2. On the licensing of valuation activities. Decree of the Government of the Russian Federation of June 07, 2002 No. 395
3. On appraisal activities in the Russian Federation. the federal law dated July 29, 1998 No. 135-FZ. (As amended by the Federal Law of December 27, 2003 No. 29-FZ)
4. On joint-stock companies. Federal Law No. 208-FZ of December 26, 1995 (as amended by Federal Law No. 17-FZ of April 6, 2004).
5. On appraisal activities in the Russian Federation. Federal Law of July 29, 1998 No. 135-FZ.
6. Astashev A. Why does an enterprise need the services of appraisers? Securities market. Company management. - No. 10, 2001 (p. 15-23).
7. Valdaytsev S. V. Business valuation and cost management of the enterprise. - M: UNITY-DANA, 2001 (p. 6-31)
8. Kalvarsky G.V. Appraisal activity: determination of the market value (business valuation) of the enterprise. - Textbook. allowance. - St. Petersburg: MBI Publishing House, 2004 (p. 20)
9. Koller T., Copeland T., Murrin J. The value of companies: evaluation and management / Translated from English. - 2nd ed., erased. - M .: CJSC "Olimp-Business", 2002 - (series "Skill"). - (p.7-22)
10. Organization and methods of enterprise (business) valuation: Textbook. Ed. Prof. IN AND. Koshkin. - M .: Iz-vo "IKF" Ekmos "2002 - (p. 72-76)
11. Pratt Sh. Business valuation / Per. from English. – M.: Institute economic analysis World Bank, 1996 (pp. 5-24)

Generally accepted value standards in business valuation are a set of valuation requirements. In world practice, there are four main business valuation standards:

■ reasonable market value;

■ reasonable cost;

■ investment value;

■ intrinsic (fundamental) value.

The main differences between these standards are as follows.

Fair market value standard assumes that the evaluation of a business or an investment project is based on information (about property, current and forecast market conditions and purchased resources), which is equally available to any potential buyer and seller of a business, to any investor whose business opportunities are in the field of financing projects are also considered equal and unlimited. The fair market value standard is considered too theoretic, but nevertheless it is used in world practice (mainly in Anglo-Saxon countries) to determine the taxable base for property tax in terms of financial assets of enterprises that have shares of closed subsidiaries on their balance sheets.

Reasonable Cost Standard involves the valuation of a business on the basis of equally available information for specific buyers and sellers of the business. The information provided must be neutral, the business opportunities of business participants must be the same. The fair value standard is most applicable in Western practice when minority shareholders contest through the courts transactions for the purchase of shares from them by larger shareholders of the same enterprises on the basis of false information about the true market prospects of the enterprise and the true market value of its property. This situation is also typical for Russia, when larger shareholders and managers of privatized enterprises, on the basis of information asymmetry, buy up small blocks of shares from employees of privatized enterprises.

Investment value standard involves the evaluation of a business or an investment project only on the basis of awareness of the property, market prospects of the enterprise in the sales markets, purchased resources, business opportunities (availability of resources for business development, business imagination and creative opportunities) of its particular investor. At the same time, the assessment of the same project will be different for different potential investors. In accordance with this standard, the investment value of an enterprise, from the point of view of an external investor-buyer, is an external value, and from the position of acting managers, it is a balance sheet value.

Intrinsic (fundamental) value standard requires that the valuation of a business or an investment project be carried out by a third-party independent appraiser based on his own knowledge and understanding of the investor's business opportunities. This means that an independent analyst or appraiser, in order to meet the standard of intrinsic (fundamental) value, must have his own experience in the industry of the enterprise in question and his own independent information about it. The standard of internal (fundamental) value also assumes that the analyzed enterprise must be evaluated by all existing business valuation methods in order to obtain a final assessment.

In world practice, it is believed that the most objective valuation of a business meets the standard of reasonable market value, since it does not depend on the opinion of the investor who will implement the project.

To the greatest extent, the impact of standards is taken into account when determining the discount rate for forecasting cash flows, as well as profits and losses for the project. This is due to the fact that commercial and financial information on the level and fluctuation of investment income in the industry under consideration is not always available for different subjects of assessment. If publicly available information is used in the valuation, then it complies with the fair market value standard; if it is confidential, then the valuation is carried out in accordance with the investment value standard.