Business Valuation Services
Company valuation is required across a range of situations, from statutory compliance and fundraising to M&A transactions and shareholder disputes. Hegde Hegde and Associates LLP provides business valuation services using recognised methodologies, supported by CA-led review and documentation.
Partner reviewedDocumented processBengaluru office
Why Business Valuation Matters
Under the Companies Act 2013, the Income Tax Act 1961, and FEMA regulations, several transactions require a valuation report from a qualified valuer, including share issuance, transfer of shares involving non-residents, and specified related-party transactions.
Beyond statutory requirements, a defensible corporate valuation provides a documented basis for fundraising negotiations, M&A pricing, and internal decision-making around equity or business transfers.
Why Businesses Need This Service
- Issuance of shares requiring a fair value determination under the Companies Act or FEMA.
- Transfer of shares involving a non-resident buyer or seller, requiring valuation under FEMA pricing guidelines.
- Fundraising rounds requiring a valuation basis for negotiation with investors.
- M&A transactions requiring an independent valuation to support deal pricing.
- Employee stock option (ESOP) valuation for grant and exercise pricing.
- Shareholder disputes or exit valuations requiring an independent, defensible report.
Our Approach
- 01
Assessment
Understanding the purpose of the valuation and the applicable regulatory requirement.
- 02
Planning
Selecting the appropriate valuation methodology based on the purpose and available information.
- 03
Documentation
Gathering financial statements, projections, and supporting business information.
- 04
Execution
Conducting the valuation analysis using the selected methodology.
- 05
CA Review
Independent review of the valuation conclusions before the report is finalised.
- 06
Compliance Verification
Confirming the valuation aligns with applicable statutory or regulatory requirements.
- 07
Reporting
Delivery of the valuation report with supporting workings and assumptions.
- 08
Continuous Support
Advisory during negotiation or regulatory filing, where required.
Scope of Services
- Valuation for issuance or transfer of shares under Companies Act and FEMA requirements
- Valuation for fundraising rounds and investor negotiations
- M&A transaction valuation, including discounted cash flow and comparable company analysis
- Employee stock option (ESOP) valuation
- Valuation for shareholder exit, buy-back, or dispute resolution
- Valuation reports for tax purposes, including under Section 56(2)(viib) and related provisions
- Business valuation for succession or restructuring planning
Business Benefits
- A defensible, methodology-driven valuation supporting statutory compliance.
- A documented basis for fundraising and M&A negotiations.
- Reduced risk of tax exposure arising from undervaluation or overvaluation of shares.
- Clearer support for ESOP pricing and related employee compensation decisions.
- Independent valuation conclusions that stand up to regulatory or investor scrutiny.
Why Choose Hegde Hegde and Associates LLP
- Valuation reports reviewed by a qualified Chartered Accountant before issuance.
- Valuation coordinated with our taxation, due diligence, and business advisory practices.
- Application of recognised methodologies, including DCF, comparable company, and net asset value approaches.
- Documentation standards suited to regulatory filing and investor scrutiny.
- Practical understanding of Indian statutory valuation requirements across Companies Act, FEMA, and Income Tax provisions.
Industries We Serve
Our business valuation engagements support technology and IT services companies raising funding rounds, D2C and e-commerce brands preparing for M&A, and manufacturing enterprises requiring valuation for restructuring or succession planning.
Technology & IT services
D2C & e-commerce
Manufacturing
Startups & funded ventures
Professional services
NRI individuals
Healthcare
Real estate
Financial institutions
NGOs & trusts
Hospitality
Education
Our Process
Each stage produces a defined deliverable, and nothing is issued to a client before the Chartered Accountant review stage is complete.
- 01
Discovery
Understanding the purpose and context of the valuation.
- 02
Assessment
Selecting the applicable methodology and regulatory framework.
- 03
Documentation Review
Gathering financial and business information.
- 04
Execution
Conducting the valuation analysis.
- 05
CA Review
Independent review of conclusions.
- 06
Reporting
Delivery of the valuation report.
- 07
Ongoing Support
Advisory during negotiation or filing.
Frequently Asked Questions
The appropriate methodology depends on the purpose of the valuation and the nature of the business. Common approaches include the discounted cash flow method, comparable company multiples, and net asset value, applied individually or in combination.
In many cases, yes. The Companies Act, FEMA regulations, and Income Tax provisions each specify circumstances under which a valuation report from a qualified valuer is required for share issuance or transfer.
Depending on the specific statutory requirement, a qualified valuer may need to be a registered valuer under the Companies Act, a merchant banker, or a Chartered Accountant, as prescribed for that particular transaction.
Timelines depend on the complexity of the business and availability of financial information, but most valuation engagements are structured to align with the client’s fundraising, transaction, or filing timeline.
Yes. We support valuation for ESOP grant and exercise pricing, applying methodologies appropriate to unlisted companies.
Discuss Your Business Valuation Requirements
Whether you require a valuation for statutory compliance, fundraising, or an M&A transaction, our team is available to discuss your specific requirement.
Content reviewed by CA Ramkumar Hegde, Partner, Hegde Hegde and Associates LLP.