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M&A Valuation Methods: Your Essential Guide with 7 Key Methods

Valutico

This rate typically reflects the weighted average cost of capital (WACC) which accounts for the risk associated with the future cash flows and the capital structure of the company. These cash flows represent the net amount of cash that is expected to be received over the investment period.

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Private Company Valuations—A Complete Guide

Valutico

These cash flows typically include operating income, tax payments, and changes in working capital and capital expenditures. b) Determining the Discount Rate: The discount rate, often the weighted average cost of capital (WACC), reflects the risk associated with the company’s cash flows.

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Private Company Valuations—A Complete Guide

Valutico

These cash flows typically include operating income, tax payments, and changes in working capital and capital expenditures. b) Determining the Discount Rate: The discount rate, often the weighted average cost of capital (WACC), reflects the risk associated with the company’s cash flows.