iiBV 101 – Principles of Business Valuations

This course is an introduction to the principles of business valuation. The purpose of this course is to introduce the novice valuation practitioner to an overview of the areas of analysis that are common to a comprehensive business valuation. The two overriding course concepts involve the evaluation of growth and risk. Qualitative risk is considered in company analysis and industry and macroeconomic analysis as well as financial ratio analysis. Quantitative risk is considered in the evaluation of financial risk and leverage. Subject company growth is assessed as part of the forecasting exercises as well as in the selection of market multiples in the market approach to value.

Two of the three approaches to valuation are covered in this course: the market approach and the asset approach. The third valuation approach, the income approach to value, is covered separately in iiBV 102.

iiBV 101 assumes that the student has had no prior formal training in business valuation. While a general business background will help the student grasp concepts more quickly, it is not necessary to successfully complete the material. This course is an introductory course to core business valuation theory and practice that addresses professional, practice, and theory issues.

Topics covered in this three day course include:

  • Valuation Practice
  • Fundamental Valuation Principles
  • Valuation Standards
  • Qualitative Environmental Analysis
  • Quantitative Financial Analysis
  • Income Approach to Value
  • Asset Approach to Value
  • Market Approach to Value
  • Ethical Standards and Codes of Conduct