asset-based valuation
[ˈæsɛt ˈbeɪst ˌvæljuˈeɪʃən]
nounpl: asset-based valuations
avaliação baseada em ativos
1. A valuation method that determines a company's worth by calculating the total value of its assets minus its liabilities, also known as net asset value or book value approach
The bank used asset-based valuation to determine the company's net worth before approving the loan.
O banco utilizou avaliação baseada em ativos para determinar o patrimônio líquido da empresa antes de aprovar o empréstimo.
2. An appraisal approach commonly used for asset-heavy businesses, liquidation scenarios, or companies with significant tangible property
For manufacturing firms with substantial equipment and inventory, asset-based valuation is often the most appropriate method.
Para empresas de manufatura com equipamentos e estoque substanciais, a avaliação baseada em ativos é frequentemente o método mais apropriado.
Asset-based valuation is a fundamental concept in both Brazilian and American business practices, particularly important in M&A transactions, bankruptcy proceedings, and financial reporting. In Brazil, this method is heavily regulated by CVM (Comissão de Valores Mobiliários) standards and is widely used in due diligence processes. In the USA, it's commonly employed by certified valuation analysts and is essential in insurance, real estate, and manufacturing industries where tangible assets form the core of business value.
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