Valuation by Fair Market Value
Valuation by Fair Market Value for Businesses in Calgary and Surrounding Areas
Fair Market Value (FMV) describes the value that an asset, or business, would sell for in a competitive open market in which all parties involved have adequate information, are acting in their own interest, are free of any pressure, and have ample decision-making time.
Fair market value can be determined by four basic methods:
Cost or selling price: If the asset has been recently sold.
Sales of comparable assets: If comparable assets have been recently sold.
Replacement cost: The cost to cost or build a similar property or asset, most often used in insurance claims or tax returns.
Expert opinion: Hiring a professional appraiser who will provide an expert opinion.
Valuation of businesses by FMV may be done for a variety of reasons. SJPC will determine the best and most accurate method for valuation by assessing your situation, and will provide an expert, and accurate, valuation of your business.