Business Valuation Business valuations are performed because ownership interests in privately held companies often represent a significant portion of one's estate or portfolio. The value of an interest in a privately held company, as opposed to stock in a public company, is usually unknown because there is no active market to sell or trade that interest from which to ascertain approximate value. Value determinations are most commonly needed to calculate estate tax, to divide assets in a divorce or to resolve shareholder/partner disputes. A Value Added Service Possibly one of the best reasons for obtaining a business valuation is to use it as a management tool. A prime objective for every business enterprise is to improve and maximize value to its owners. A properly prepared business valuation provides management with insightful information that helps them identify company strengths and weaknesses that affect value, allowing management to more effectively focus their energies in places that really count.