Which valuation methods are recognized in India?

Recognized valuation methods include Discounted Cash Flow (DCF), Net Asset Value (NAV), Comparable Companies Analysis (CCA), Comparable Transaction Method and Earnings Capitalization depending on the purpose of valuation.

Is a Registered Valuer required?

Yes. For various Companies Act transactions, mergers, preferential allotments and regulatory filings, valuation by a Registered Valuer may be mandatory.

When should a business valuation be updated?

Businesses generally update valuations before fundraising, mergers, acquisitions, ESOP implementation, restructuring or whenever significant business events occur.

Can business valuation reports be used for investors and tax purposes?

Yes. Depending on the purpose, separate valuation reports may be prepared for regulatory compliance, taxation, fundraising or investor negotiations.

How are intangible assets valued?

Intangible assets such as brand value, intellectual property, customer relationships and technology are valued using accepted valuation methodologies with appropriate assumptions.

Explore FlowIQMeet FlowIQ

NewNew products

Meet AarambhExplore Aarambh

Free consultation

Business Valuation Services in India

1000+ Done

0 +

Happy Customers

0 +

Company Registered

0 +

Gov Registation

Securing certified business valuation services in India is a strict statutory mandate required to legally execute equity issuances, cross-border asset transfers, and complex corporate mergers. In India, your financial reports must be structured using accepted pricing models such as Discounted Cash Flow (DCF), Comparable Companies Multiple, or Net Asset Value (NAV) and certified explicitly by an IBBI-registered valuer or a SEBI-registered Category-I Merchant Banker, depending on the specific regulatory trigger.

What is an IBBI-registered value, and when do I need one?

An IBBI-Registered Valuer is a specialized professional certified by the Insolvency and Bankruptcy Board of India. The regulatory requirements for who can sign off on your valuation vary depending on the governing law of your transaction:

Governing Law / Transaction	Is an IBBI-Registered Valuer Mandatory?	Authorized Signatory
Companies Act, 2013 (e.g., private placements, rights issues, NCLT mergers, share buybacks)	Yes	IBBI-Registered Valuer
FEMA Filings (Cross-border share transfers, FDI investments, NRI exits)	No	Chartered Accountant (CA) or a SEBI-Registered Category-I Merchant Bankerq
Income Tax Act (Section 56(2)(x) exposure when unlisted shares move below FMV)	No	Merchant Banker (for DCF method) or CA (for NAV method under Rule 11UA)

Our Core Valuation Services

Our Core Valuation Services	When You Need It	Key Regulatory Requirement
Business Valuation	Fundraising, M&A, strategic planning, or Ind AS financial reporting.	Independent, commercial assessment using blended methodologies.
Share Valuation	Private placements, gifts, or Section 56(2)(x) income tax compliance.	Strict adherence to Rule 11UA requires an IBBI valuer for corporate issuances.
FEMA Valuation	FDI inflows, ODI outflows, NRI share transfers, or CCD conversions.	The DCF method is mandatory and certified by a CA or SEBI merchant banker.
Companies Act Valuation	Preferential allotments, rights issues, or non-cash director transactions.	Must be issued by an IBBI-Registered Valuer under Section 247.
NCLT Valuation	Mergers, demergers, and court-approved corporate restructuring.	Independent report filed alongside the formal NCLT petition.
Share Swap Valuation	Amalgamations where shares are exchanged instead of cash.	Dual valuation of both companies to establish a fair exchange ratio.

Navigating Regulatory Frameworks

1. Business Valuation: Beyond "Gut Feel"

Every founder has a number in their head that reflects years of sweat equity. Every buyer has a number backed by hard data. We bridge that gap with defensible, methodology-driven models that hold up under intense negotiation and audit scrutiny.

What our comprehensive reports include:

Historical Financial Health: Rigorous normalized EBITDA analysis aligned with international reporting standards (IFRS).
Detailed DCF Modeling: Defensible Discounted Cash Flow (DCF) models with dynamic sensitivity analysis (WACC & terminal growth rates) mapped to Reserve Bank of India (RBI) pricing guidelines.
Market Approach: Observable peer-group multiples, transaction comps, and justified size/liquidity adjustments under IBBI valuation standards.
Statutory Certifications: A signed, final valuer's certificate customized to your specific transactional goal, formatted for seamless Ministry of Corporate Affairs (MCA) and Income Tax department filings.

For unlisted private companies, the price you pick has real legal consequences. Under Section 56 of the Income Tax Act, if shares are transferred or issued below Fair Market Value (FMV), the difference is treated as taxable income for the recipient..

3. FEMA Valuation: Cross-Border Pricing Rules

For unlisted shares, FEMA strictly mandates the DCF method. Asset-based NAV reports will be routinely rejected by your Authorized Dealer (AD) Bank. We provide rapid, bank-ready DCF certificates to ensure smooth capital remittances.

If a merger fails to meet the strict structural definition under Section 2(1B) of the Income Tax Act. We provide objective, multi-weighted valuations and formal fairness opinions to ensure your restructuring remains secure and tax-exempt.

How an Engagement Works with Taxlegit ( The 5-Phase Process )

Valuation is not a check-the-box exercise. Here is exactly how we work with you to ensure absolute compliance and zero transaction delays.

Scope & Strategy (Phase 1):

We start by identifying your transaction’s specific purpose and determining the exact regulatory certifier required (whether it's an IBBI valuer, a merchant banker, or a CA).Read moreRead less

Data Intake (Phase 2):

We gather your financial statements, projections, and cap tables. No endless back-and-forth we give you a clean, precise checklist of what we need.Read moreRead less

Analysis & Modeling (Phase 3):

We dive into the data, building robust DCF/NAV models and calculating the cost of capital tailored strictly to Indian regulatory standards.Read moreRead less

Sign-off & Delivery (Phase 5):

We issue your final certified valuation report and assist with the formal filing process to ensure it passes regulatory scrutiny.

Expected Timelines

Standard Share Valuations

Completed within 3 to 7 business days once data is received.

Complex NCLT or Share Swaps

Take 3 to 5 weeks, depending on data complexity and availability.

Click Here to Book a Free Consultation in Your Time Zone, or reach our team directly at: [email protected]

Frequently Asked Questions

Discounted Cash Flow (DCF), Net Asset Value (NAV), Comparable Companies/Transactions (Market Approach), and Earnings Capitalization are accepted under the Companies Act and Income-tax guidelines.

A Registered Valuer is mandatory for valuations under the Companies Act 2013 and for regulatory filings such as mergers, preferential allotments, and share transfers.

Startups typically reassess valuation before every fundraising or ESOP issuance; private companies usually refresh it annually or upon major business events.

Yes, though separate versions may be prepared depending on the regulatory intent—one for compliance and one for negotiation or investor communication.

Brand, technology, data, goodwill, and customer contracts are valued using income or relief-from-royalty approaches where applicable, and disclosed with clear assumptions.

Ready to Start Your Journey?

TALK TO A SPECIALIST

Chat on WhatsApp

Call Now

Business Valuation Services in India

1000+ Done

0 +

Happy Customers

0 +

Company Registered

0 +

Gov Registation

What is an IBBI-registered value, and when do I need one?

Governing Law / Transaction	Is an IBBI-Registered Valuer Mandatory?	Authorized Signatory
Companies Act, 2013 (e.g., private placements, rights issues, NCLT mergers, share buybacks)	Yes	IBBI-Registered Valuer
FEMA Filings (Cross-border share transfers, FDI investments, NRI exits)	No	Chartered Accountant (CA) or a SEBI-Registered Category-I Merchant Bankerq
Income Tax Act (Section 56(2)(x) exposure when unlisted shares move below FMV)	No	Merchant Banker (for DCF method) or CA (for NAV method under Rule 11UA)

Our Core Valuation Services

Our Core Valuation Services	When You Need It	Key Regulatory Requirement
Business Valuation	Fundraising, M&A, strategic planning, or Ind AS financial reporting.	Independent, commercial assessment using blended methodologies.
Share Valuation	Private placements, gifts, or Section 56(2)(x) income tax compliance.	Strict adherence to Rule 11UA requires an IBBI valuer for corporate issuances.
FEMA Valuation	FDI inflows, ODI outflows, NRI share transfers, or CCD conversions.	The DCF method is mandatory and certified by a CA or SEBI merchant banker.
Companies Act Valuation	Preferential allotments, rights issues, or non-cash director transactions.	Must be issued by an IBBI-Registered Valuer under Section 247.
NCLT Valuation	Mergers, demergers, and court-approved corporate restructuring.	Independent report filed alongside the formal NCLT petition.
Share Swap Valuation	Amalgamations where shares are exchanged instead of cash.	Dual valuation of both companies to establish a fair exchange ratio.

Navigating Regulatory Frameworks

1. Business Valuation: Beyond "Gut Feel"

What our comprehensive reports include:

Historical Financial Health: Rigorous normalized EBITDA analysis aligned with international reporting standards (IFRS).
Detailed DCF Modeling: Defensible Discounted Cash Flow (DCF) models with dynamic sensitivity analysis (WACC & terminal growth rates) mapped to Reserve Bank of India (RBI) pricing guidelines.
Market Approach: Observable peer-group multiples, transaction comps, and justified size/liquidity adjustments under IBBI valuation standards.
Statutory Certifications: A signed, final valuer's certificate customized to your specific transactional goal, formatted for seamless Ministry of Corporate Affairs (MCA) and Income Tax department filings.

3. FEMA Valuation: Cross-Border Pricing Rules

How an Engagement Works with Taxlegit ( The 5-Phase Process )

Valuation is not a check-the-box exercise. Here is exactly how we work with you to ensure absolute compliance and zero transaction delays.

Scope & Strategy (Phase 1):

We start by identifying your transaction’s specific purpose and determining the exact regulatory certifier required (whether it's an IBBI valuer, a merchant banker, or a CA).Read moreRead less

Data Intake (Phase 2):

We gather your financial statements, projections, and cap tables. No endless back-and-forth we give you a clean, precise checklist of what we need.Read moreRead less

Analysis & Modeling (Phase 3):

We dive into the data, building robust DCF/NAV models and calculating the cost of capital tailored strictly to Indian regulatory standards.Read moreRead less

Sign-off & Delivery (Phase 5):

We issue your final certified valuation report and assist with the formal filing process to ensure it passes regulatory scrutiny.

Expected Timelines

Standard Share Valuations

Completed within 3 to 7 business days once data is received.

Complex NCLT or Share Swaps

Take 3 to 5 weeks, depending on data complexity and availability.

Click Here to Book a Free Consultation in Your Time Zone, or reach our team directly at: [email protected]

Frequently Asked Questions

Discounted Cash Flow (DCF), Net Asset Value (NAV), Comparable Companies/Transactions (Market Approach), and Earnings Capitalization are accepted under the Companies Act and Income-tax guidelines.

A Registered Valuer is mandatory for valuations under the Companies Act 2013 and for regulatory filings such as mergers, preferential allotments, and share transfers.

Startups typically reassess valuation before every fundraising or ESOP issuance; private companies usually refresh it annually or upon major business events.

Yes, though separate versions may be prepared depending on the regulatory intent—one for compliance and one for negotiation or investor communication.

Brand, technology, data, goodwill, and customer contracts are valued using income or relief-from-royalty approaches where applicable, and disclosed with clear assumptions.

Ready to Start Your Journey?

TALK TO A SPECIALIST

Chat on WhatsApp

Call Now

Business Valuation Services in India | Taxlegit

Business Valuation Services in India

What is an IBBI-registered value, and when do I need one?

Our Core Valuation Services

Navigating Regulatory Frameworks

1. Business Valuation: Beyond "Gut Feel"

What our comprehensive reports include:

2. Share Valuation & Tax Compliance (Rule 11UA)

3. FEMA Valuation: Cross-Border Pricing Rules

4. NCLT & Share Swap Valuations: Protecting Corporate Restructures

How an Engagement Works with Taxlegit ( The 5-Phase Process )

Scope & Strategy (Phase 1):

Data Intake (Phase 2):

Analysis & Modeling (Phase 3):

Sign-off & Delivery (Phase 5):

Expected Timelines

Standard Share Valuations

Complex NCLT or Share Swaps

Frequently Asked Questions

Ready to Start Your Journey?

Business Valuation Services in India

What is an IBBI-registered value, and when do I need one?

Our Core Valuation Services

Navigating Regulatory Frameworks

1. Business Valuation: Beyond "Gut Feel"

What our comprehensive reports include:

2. Share Valuation & Tax Compliance (Rule 11UA)

3. FEMA Valuation: Cross-Border Pricing Rules

4. NCLT & Share Swap Valuations: Protecting Corporate Restructures

How an Engagement Works with Taxlegit ( The 5-Phase Process )

Scope & Strategy (Phase 1):

Data Intake (Phase 2):

Analysis & Modeling (Phase 3):

Sign-off & Delivery (Phase 5):

Expected Timelines

Standard Share Valuations

Complex NCLT or Share Swaps

Frequently Asked Questions

Ready to Start Your Journey?