Business Valuation Guide

Value is a range, supported by a method.

A valuation is an informed opinion of what a business is worth for a stated purpose, at a stated date. It is a range with reasons, not a single true number. Owners meet valuation when they sell, buy, bring in a partner, settle a shareholder dispute, plan succession, or raise funding. The purpose changes the answer, so the purpose should be agreed first.

What it covers

1. Why and when to value
2. The three approaches
3. Normalising earnings
4. An illustrative worked example
5. What moves value
6. Premiums, discounts and structure
7. Information a valuer needs
8. Common mistakes

About this guide

Written by the BlackLeaf team, this is the 2026 edition: 11 pages, free to read online or download as a PDF. It is general information for South African owners, boards and families, and is not legal, tax or investment advice. Speak to a qualified adviser before you act on it.

How BlackLeaf can help

BlackLeaf advises owner-managed and mid-market groups on capital structure, group architecture, valuation methods and shareholder arrangements.

Corporate advisory and valuations