Valuation of Business/Project

Project Viability Calculator (read initial investment for proposed price)

Asking Price £ The proposed price for the business in £s Investment £ The extra funds required as investment in order to deliver the growth, in £s Current Net Asset Value £ The net asset value of the proposed purchase now, in £s Established Sales % The percentage of sales currently coming from established sales (not new business) Mean Growth £ The historical mean growth/yr from net asset values on balance sheets over at least the last 5 years Goodwill Extent yrs The period over which the current market model may be expected to support established sales Expected yearly growth % The expected growth on the investment each year as a % Investment period yrs The period after which the investment is expected to justify itself with ROI, in yrs Goodwill £ The value being attributed to goodwill as at the purchase date Business Value £ The current value of the business (net asset value plus goodwill) Purchase Loss/Gain £ The difference between the current value of the business and the Asking Price Total Investment £ The sum of the Asking Price and further funds required (Investment) for the project Growth £ The total growth expected over the Investment Period Projected Value £ The Projected Value of the business after the Investment Period ROI % The projected return on investment after the Investment Period