Valuation service is provided by our founder partner CA Ravi Khandelwal who is a Registered Valuer, registered with Insolvency and Bankruptly Board of India (IBBI) for conducting valuations of Securities and Financial Assets and is a member of ICAI Registered Valuers Organisation.

Valuation under Companies Act, 2013

As per Section 247 of the Companies Act it is mandatory to conduct the valuation of shares / securities to issue shares in a company to get valuation done by a registered valuer

A company requires valuation to be carried out either as mandated by statutes or for their own internal decision making. Valuation may be undertaken in any of the following scenarios:

• Valuation of business at the time of equity investments, acquisitions, mergers, demergers, slump sale or strategic planning
• Valuation for regulatory compliance under the following statutes:
• Companies Act, 2013
• Income-tax Act, 1961
• Securities Exchange Board of India (‘SEBI’) Act, 1992
• Foreign Exchange Management Act (‘FEMA’), 1999
• Insolvency and Bankruptcy Code (‘IBC’), 2016
• Valuation for financial reporting purposes as required under Indian Accounting Standard (Ind‑AS) 113, valuation of intangible assets including brand valuation, trademarks, intellectual property, distribution network, etc.
• Valuation of ESOP under Ind AS 102
• Purchase price allocation under Ind AS 103

The internationally accepted valuation methodologies for valuing business are:

• Discounted Cash Flow method (‘DCF’)
• Comparable Companies Multiples method (‘CCM’)
• Comparable Transaction Multiples method (‘CTM’)
• Market Price method
• Net Asset Value method (‘NAV’)