Acquisition Valuation of a Microenterprise with Intangible Assets Case: Elinan Kotileipomo Ltd.

The objective of the thesis is to offer applicable tools and methods for Elinan Kotileipomo Ltd. to assess the value of their enterprise, with special emphasis on the methods used in evaluating the value of the intangible assets of the enterprise. The research was requested by the enterprise because they plan on selling and have trouble estimating the value of their enterprise. The study will present and offer tools for the successful application of three different valuation methods: future earnings valuation, asset-based valuation, and market value valuation. Additionally, special considerations of acquisition valuation will also be presented. The research methods chosen for this study are semi-structured interviews with acquisition valuation experts, reviewing literature written on the subject, and analyzing material gathered from Elinan Kotileipomo Ltd., which includes documents and interviews. The research managed to give some answers for the enterprise regarding its acquisition valuation. In addition, some applicable managerial implications and future options are suggested in the conclusions chapter of the thesis. The study is done from the perspective of a microenterprise. The study will consider the current difficult conditions caused by the Covid-19 pandemic and the Ukraine war, therefore adding to its relevance and general appeal