Business valuation in UAE

Operating a business in the dynamic UAE market can be very promising if one understands its potential, attracts investments in a timely manner, and engages in mergers or acquisitions. At times, business owners may simply lose interest in a particular direction of their activities. Whether you want to close your business, further develop it, or exit by taking your rightful share, you may need professional business valuation services. The Dynasty UAE Company can handle this task at a high level, regardless of the complexity of your request.
Business valuation in UAE
Our advantages
Work experience
For more than 8 years, Dynasty Business Adviser has been successfully introducing new players to the UAE business market. Our employees' qualifications in international law and practical experience in solving the most complex problems allow our team to develop effective schemes for clients to start activities in the Emirates successfully.
Efficiency
From the moment of acquaintance until the end of cooperation, all tasks set by the client are solved quickly. We are available 24/7 and promptly attend meetings. Time is money, so our team acts professionally and harmoniously, achieving the desired result quickly.
Complexity
We plan and organize future activities considering the specifics of local legislation. We also handle all the formalities: company registration, legalizing documents, obtaining tax certificates and licenses, opening bank accounts, and accounting support. Your UAE business will work like a Swiss watch.
No intermediaries
Having its own office in Dubai allows Dynasty Business Adviser to work directly with clients. We do not transfer cases into the hands of intermediaries but independently represent your interests in government and commercial structures so we can guarantee the efficiency of our work and the achievement of our goals.
Privacy
Complete anonymity is one of the guarantees for the safe start and operation of the client’s business. That is why we pay attention to non-disclosing confidential information to third parties. Our goal is successful cooperation and an invaluable contribution to the impeccable Dynasty Business Adviser reputation.
VIP service
Our activity's main priority is finding ways to achieve clients’ goals. Our professionals will solve any assigned tasks, even if the situation requires a non-standard approach, and will complete the work they have started. With Dynasty Business Adviser, your business has every chance of success in the UAE.
Content

What is valuation in business, and why is it important for a company?

If you are seeking investments for growth, selling, or buying a company, you will need business valuation. This is a financial analysis conducted by experts with the necessary qualifications. Business valuation can be based on various criteria: income, assets, potential, convenience of location, and market competitiveness.

An internal audit is certainly possible if there are competent and experienced specialists within the team. However, it will be less objective than an external evaluation. Moreover, decision-makers in collaboration, mergers, investments, or lending require proof of the business’s value through an independent expert assessment. Specialists follow specific business valuation standards and business valuation formulas in their business valuation calculators, and the result of a financial audit is a report completed and certified according to all local legal requirements.

Business valuation in UAE, image 1

Why a company needs a business valuation

The reasons for ordering business valuation services in UAE can vary:

  1. attracting investments or loans;
  2. the need for business restructuring: liquidation, merger, acquisition;
  3. buying or selling a company;
  4. division of property when founders withdraw from the comany;
  5. annual financial reporting for VAT payers;
  6. understanding the value of a business in the market for further planning of its development.

Business valuation services at Dynasty Business Adviser

Business valuation in UAE, image 2

We provide professional service business valuation that helps our clients get:

  • quick results if the timeframe is tight;
  • an independent and objective assessment that can be trusted;
  • high-quality expertise.

Why choose our company? Because we:

  • ensure a comfortable cooperation process;
  • provide complete data confidentiality;
  • Evaluate companies of any scale, from small private enterprises to large corporate businesses with multiple representative offices and branches;
  • work with various sectors such as financial institutions, construction, shopping centers, salons, stores, marketing, and advertising services;
  • operate with companies located in different jurisdictions, both on the mainland and in Free Zones.

Business valuation process

Business valuation methods we use

It is important to choose the method that best suits the client’s needs since the reasons for ordering a company valuation vary. All business valuation approaches can be roughly divided into four types: cost, income, market, and efficiency evaluation. Cost and market approaches are usually applied for company sales, while income and efficiency evaluations are for strategic plans such as attracting investments or partnership offers. Learn how to calculate business value using the information provided below.

Description of evaluation methods

Method

Description

Approach

Asset-based approach

This method calculates the company’s value based on the invested assets: property, equipment, inventory, and securities. After settling all financial obligations, commissions, and debts, it determines the remaining funds. The evaluation can include both tangible and intangible assets, such as inventions, trademarks, and computer programs.

Cost-based

ROI – Return on investment check

This method assesses the efficiency of marketing or advertising expenditures. The ROI formula is: (Revenue – Costs) / Costs × 100%. If the ROI is positive, the advertising campaign is considered successful.

Efficiency evaluation

Balance sheet value assessment

This method is used to determine the estimated value of an asset, such as an enterprise’s property complex, solely based on its balance sheet data.

Cost-based

Liquidation value assessment

This method considers only the company’s most liquid assets, such as property, equipment, and inventory, minus liabilities.

Cost-based

Capitalization method

This method determines business profitability. The calculation formula is: V=D/R, where V is the value, D is net income, and R is the capitalization rate.

Income-based

Discounting method

This method accounts for future cash flows but brings them to a specific point in time (e.g., today). The calculation formula is: V = (1+r)t / D​, where (r) is the discount rate and (t) is the number of years.

Income-based

Market value

In this method, comparable objects are analyzed, provided there is sufficient information on transactions and expenses.

Comparative

Tools we use

To perform the task competently and professionally, modern analytical tools are indispensable, especially when dealing with large data sets. We use online services and software such as Microsoft Power BI, SAP, QuickBooks, Tally ERP 9, and Zoho Books, for accounting, data analysis and visualization, and dashboard creation.

As a result, you receive a clear, easy-to-read, and well-formatted document that will undoubtedly be accepted by the relevant authorities.

How to calculate business valuation

Business valuation in UAE, image 3

The cost of business valuation services in Dubai or other emirates is calculated individually, as it depends on factors such as the:

  • volume and type of data;
  • software used;
  • task urgency;
  • availability of all necessary documents (legalized, formatted, and approved) to be attached to the company valuation report

Where we operate

We work throughout the United Arab Emirates, including Dubai and Free Economic Zones. As a licensed agent, our company addresses legal, notarial, and financial matters of almost any level, from document preparation and formatting to company registration and liquidation. Among our main services are legal and accounting support, which includes annual company audits. Therefore, we have got significant experience in this area.

Conclusion

Timely business valuation in the UAE’s dynamic and changing market lets you stay informed about your company’s financial situation and performance. It provides an opportunity to attract investments or take advantage of partner offers for mergers/acquisitions. If you’re in search of reliable and reputable valuation companies in Dubai or another UAE zone, contact Dynasty Business Adviser. Our team’s high level of qualification is confirmed each time we fulfill a new request. We know that no two businesses are the same, and we understand that the most valuable resource in the East is an impeccable reputation.

Get a consultation

    Who will you communicate with?
    Customer Service
    Manager
    We will discuss your request and issue, find the optimal solution, and pass the project to the appropriate specialist. We will provide information about the company's services and introduce you to leading specialists within the company.
    Legal
    Consultant
    After consultation with the customer service manager, the legal consultant conducts a more in-depth analysis of your request and develops project strategy options and preliminary organization of all processes.
    Lead Company
    Lawyer
    Will coordinate with you the strategy and stages of further work and conditions. Will be responsible for coordinating the work of the legal consultant, ensuring the correct implementation of the strategy, providing individual approach, and ensuring compliance of the team's activities with legal norms.
    Project
    Manager
    Manages your project within the company, coordinates team activities, and ensures that project goals are achieved on time. Responsible for planning, executing, and monitoring assigned tasks.
    Public Relations
    Manager (PRO)
    Represents your interests in government agencies, including handling company registration and subsequent processes, obtaining additional permits, and accompanying you during visits to government agencies.
    Accounting Department
    Manager
    Will communicate directly with you regarding accounting issues, transactions, and necessary documentation. Ensures the correctness and order of your financial flows functioning.

    Client reviews

    We use cookie files and similar technologies to ensure that users are as comfortable as possible.