Valuations & Financial Modelling

Valuations & Financial Modelling

When making investment decisions, different parties may have diverging views on where the true measure of value lies. Financial modelling and valuations are a tried and trusted way to help parties understand each one’s perspective.

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Our know-how

At BDO we combine our technical expertise with our international market-leading M&A experience to provide a valuation opinion and identify ways in which this value can be increased. This can take the form of a formal valuation opinion, or alternatively we can work with you to develop a bespoke financial model to assess the impact of key inputs on value.

Every company and its underlying assets (and liabilities) are unique. Our experienced team works with the client to understand their business and its objectives to create bespoke offerings tailored specifically to the client’s needs. At BDO we can combine our professional expertise with our independent perspective to conduct model reviews and offer support. This gives our clients the confidence they need to rely on the financial model to make informative future business decisions.

Focus on future cash-flow

Often when seeking to assign a value to a business, asset or project, parties focus on factors such as ‘volume of work’ to date, or a benchmark multiple that may have no direct relevance to the investment in question. A shrewd investor will be concerned with the future cash flow return that their investment will generate.

We specialise in deploying our financial modelling expertise in order to forecast and assess the risk involved in cash flows to arrive at a valuation opinion or investment recommendation.

Working with our team will help you:

  • Clearly communicate budgeted and actual project performance to investors and funders
  • Understand the key operational dynamics of your business, the impact upon financial performance and valuation and the impact of key risks
  • Evaluate the impact of financing options and decisions.


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Centre of Excellence

At BDO we have assembled a team of specialists with a broad range of experience to provide you with:

Experts trained globally by BDO – we are involved in the global leadership of the Valuation Practice and invest in sharing knowledge with our international network

A mix of different backgrounds covering capital markets, industry, corporate finance, and banking.


An ability to constructively challenge information using sector and industry norms/metrics.


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We adopt a unique design-led approach:

  • Every assignment is focused on the decision to be informed.
  • Use of a planning canvas provides flexibility of approach to scoping and pricing, ensuring a case-by-case design with an appropriate level of complexity.
  • Our focus is on user-experience ensuring that it is visually impactful and can lend itself to analytical review.
  • We deploy a robust self-balancing approach which avoids time wasting error resolution – making more time for iteration and decision/scenario testing.

Our commitment to excellence ensures that we deliver a product that provides:

  • Seamless linkage of historical to projected trends.
  • A detailed audit trail that can be reviewed.
  • A clear and logical approach to Working Capital Modelling.
  • An efficient approach to cash flow extrapolation for VAT and other accrual-based complexities.
  • A process that is underpinned by Capital Asset Pricing Model (CAPM) and Discounted Cash Flow Analysis.
  • Advanced data automation and visualisation tools.
  • The ability to manipulate vast quantities of data.
  • A robust methodology protected from human error.
  • Where appropriate, risk modelling & scenario weighing.

Financial Modelling

An extensive financial model is a fundamental tool for any business. We have broad experience of building financial models for business planning as well as transactions. The models we build can serve a dual purpose being both relevant to a particular transaction and to be used as a management forecasting tool. By providing our clients with high quality models, we help them make better, more informed decisions involving operations, transactions, and funding, among others.

Financial models can be confusing. We plan our models to be easy to explore, adaptable and customised to your necessities. They will give you the certainty that you are making informed choices and that you completely understand their effect.

Our combined experience of financial modelling and valuations means there are no situations that we have not encountered before. You can be sure we understand what is required and what is at stake for our client.

Our experienced team have successfully performed numerous assignments across various sectors and have worked on all types of engagements.

Our modelling experience includes:

Operational and business planning

Cashflow management

Scenario and sensitivity analysis

IPOs
LBO/MBOs

Private equity

Growth and acquisitions

Debt and refinancing

Project finance

Portfolio analysis

Fund modelling

Valuations


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Valuations


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BDO’s Valuation team delivers independent valuations for a variety of purposes. Our valuation work is varied and includes reports needed to comply with accounting or regulatory standards and for tax, litigation, family, or commercial purposes.

In our experience, a valuation is often needed at a difficult or stressful time. This may be a shareholder dispute, a potential sale, the breakdown of a relationship or simply the year-end audit process. We provide an efficient valuation service that gives our clients the confidence of having the full picture.

We provide tailor-made financial modelling solutions. Regardless of which sector you are operating in, we have significant expertise and knowledge to suit your specific needs. We deliver valuations in a timely and cost-effective way to support our clients' stategic decisions.

You can expect more from our team. We go beyond giving a valuation opinion by identifying key drivers of value for a prospective buyer.

Our modelling experience includes:

  • Project appraisal
  • IFRS/Tax compliance
  • M&A
  • Fundraising
  • Purchase price allocation.

Meet our experts