Business valuation

Information necessary for valuation of a business or
an ownership interest in or stock issued by a private company

General Information Content
A.1 Authorised representatives the persons responsible for preparing and providing the information to the Appraiser
A.2 Date of valuation date as of which the assets are to be valued
A.3 Organisation chart the company’s organisation chart
A.4 Historical reports final accounts / annual reports for the past three fiscal periods
A.5 Articles of Association, Founders’ Deed copies
Accounting Information Content
U.1 Chart of accounts chart of accounts, cost centres, etc
U.2 Statements as of the date of valuation final accounts as of the date of valuation approved by an authorised representative of the company, including preliminary balance sheet
U.3 Service Life current company rules regarding service life of long-term assets
U.4 Leasing financial and/or operating leasing
Assets Information Content
M.1 Real estate
  1. copies of titles, including copies of cadastral maps
  2. submitted requests for registration in the cadastre (for properties prior to registration)
  3. list of structures and buildings according to company books plus the number of land plot on which each structure is situated (reg. no.)
  4. list of land plots according to company books plus information about cadastral area, land plot numbers and size
  5. list of tenants
  6. estimated physical service life of real estate
  7. list of asset not used for operation
M.2 Real estate administrator  
M.3 Movable assets and sets of movable assets
  1. list of assets including at least the following: reg. no., name, year of acquisition, historical purchase price, SKP class
  2. transport technology – reg. no., description of vehicle type, engine type and power, year of manufacture, mileage, major repairs
  3. information about assets bought as second-hand items or through financial leasing (including the date of acquisition and historical purchase price)
  4. list of asset not used for operation
  5. estimated physical service life of movable assets
M.4 Asset administrator  
M.5 Long-term intangible assets
  1. list of assets including at least the following: reg. no., name, year of acquisition, historical purchase price
  2. copy of trademark registration with the Industrial Property Office
  3. information on all licensing agreements (including past agreements)
  4. estimated physical service life of intangible assets
M.6 Intangible asset administrator  
M.7 Small assets
  1. list of small assets – stating at least the name, year of acquisition and historical purchase price
  2. indicate whether or not each asset is included in the balance sheet
M.8 Liabilities and receivables
  1. short-term trade receivables – maturity structure (before maturity, 30/60 days after maturity, …)
  2. short-term trade liabilities – maturity structure (before maturity, 30/60 days after maturity, …)
  3. for long-term liabilities and receivables – state how and why they occurred, their date, maturity, interest rate (if applicable)
M.9 Inventory
  1. type of inventories
  2. estimated liquidity
Strategy Information Content
S.1 Financial plan the financial plan including at least the following (3-5 year outlook, if possible):

  1. revenue forecast in standard units and unit prices
  2. cost forecast with basic structure
  3. asset development forecast
  4. liability forecast
  5. planned number of employees
  6. investments (replacement, development)
S.2 Competition commentary on the relevant competition, prices, threats and opportunities, advantages and disadvantages, etc.
S.3 Environment specification of existing and future “internal debt” related to environmental issues
S.4 Marketing
  1. description of the company’s marketing activities
  2. structured overview of advertising expenditures
Other important facts Information Content
O.1 Litigation active or passive legal disputes including their expected financial consequences
O.2 Off-balance assets assets not included in company books (registered trademarks, small assets, etc.)
O.3 Off-balance liabilities liabilities not included in company books (guarantees, bills, etc.)
O.4 Employees number of employees for the past three fiscal periods, current number of employees as of the date of valuation
O.5 Dividends, profit sharing dividend and profit sharing history and outlook