Business valuations are an important tool for owners of privately held companies. For example, if you are doing sophisticated tax planning, buying out a business partner or if an owner is going through a divorce, then a valuation may be highly prudent — if not legally required.
However, business owners should avoid rushing to get a valuation in circumstances where the need is not clear. Here are three common situations where getting a valuation may seem to make sense, but might actually be unnecessary or counterproductive.
Situation One: You are getting ready to sell the company
A commonly held view among
