According to the American Society of Appraisers, many chief executives and company presidents simply don’t know what their own company is worth and, as a result, they are making corporate decisions from an unenviable position.So, the society is now offering specific tips to understand why every company needs to have a current business valuation.

1. Know what your company is actually worth. In this respect, the society feels that a goodly number of business owners don’t really have a clue as to the worth of their businesses and that whenever they think they know, it’s usually incorrect. For that reason, the society suggests an independent, professional business valuator.2. Understand where your company fits.  A business valuation generally researches and provides a detailed explanation of your specific industry and puts your company somewhere in that competitive landscape of a particular market. At the same time, the valuation will let you know the market price of publicly trade companies in your same line of work.

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