The problem
The market says the business is worth £50m. Your DCF, built from its own cash flows, says otherwise. One of you is wrong — and knowing which is the whole job.
Value the wrong way and you’ll overpay in a boom and sell in a slump, every time. Pick the wrong peer group and misvalue by half. Trust a single multiple and miss that the group is worth less than the sum of its parts. Valuation isn’t one number; it’s a triangulation, and each method checks the others.
The people who value companies for a living never rely on one method or one set of assumptions. They build the range and show exactly what it hangs on.
What this book gives you
How to Master Valuation Frameworks gives you the 19 methods professionals use to price a business — intrinsic, relative and asset-based — each a full chapter with the live model behind it.
- Discounted Cash Flow (DCF)
- FCFF & FCFE
- Comparable Companies
- Precedent Transactions
- Trading Multiples
- Sum-of-the-Parts
- The Venture Capital Method
- APV
… 19 in all, from DCF to startup and asset-based methods.
See it move
Build the DCF and watch it fight the market. At a 9% cost of capital and 2.5% long-term growth a business might be worth £8.46 a share — but the terminal value is 76% of that, so nudge growth to 3.5% or the discount rate to 8% and the valuation lurches a fifth. The model doesn’t just value the business; it shows you which belief the price rests on.
Buying more than one category? All 25 books and every one of the 467 models are £29.99 in the Business Framework Omnibus — less than the price of a third book. Prefer to try first? The free Framework Starter Pack gives you five complete chapters and their live Excel models.
19 frameworks. One category. The complete learning path. Every model in Valuation Frameworks — explained, applied, and ready to use.
How to Master Valuation Frameworks walks you through the complete arc: 19 models, in the order you'd actually learn them, each with a full practitioner chapter and a live Excel companion.
- 19 models across Valuation Frameworks, the complete learning path
- Full practitioner chapters plus a live Excel companion for every model
- Written from 30+ years in investment banking, M&A and private equity