The Need For Approaching The Value In Use And Fair Market Value Within A Modern Concept Of Business Valuation Process

The valuation of company with the intent of continuing the business is the backbone and the most important segment in terms of sale of the company or management strategy in order to maximize its value. The information obtained by this complex valuation process is the most significant part. Although the purchase price of a particular company usually depends on the psychological factors of investor and is sometimes determined before the valuation process, the information about the value in use and the best reachable market value is very important for both investor and seller. Various economic models for business valuation have been developed so far. However, the complexity of quantitative model determination which would cover all parameters that reflect the value creation and accumulation, along with other parameters that determine the final market price, is constantly being researched. Hence, the paper defines the importance of approaching the value in use and fair market value, as well as a modern approach to business valuation based on computational intelligence.