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Valuation and Modelling Services

Valuation and Financial Modelling Services in the UAE

Independent, standards-compliant analysis that holds up under investor, lender, and regulatory scrutiny.

Valuations and financial modelling are crucial to most aspects of business, from financing and transactions to litigation, compliance, and strategic management. Neither operates in a vacuum: to be useful, both must reflect current accounting, regulatory, and tax requirements.

  • Over a decade of experience developing business models and valuations across a wide range of market scenarios
  • Standards-compliant methodology, adhering to prevailing accounting, regulatory and tax codes throughout
  • Unbiased, third-party analysis, trusted by commercial organisations, buyers and business owners alike

Our team helps clients solve complex transaction and business issues and analyse the optimal path forward, backed by well-reasoned valuation estimates and expert financial modelling.

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Our Valuation and Financial Modelling Services

Farahat & Co.’s Valuation and Modelling practice covers two closely related but distinct specialisms, each with its own dedicated team.

  1. Valuations

    Independent business, share and asset valuations for transactions, disputes, financial reporting, and regulatory submissions, using recognised valuation approaches and methods.

  2. Financial Modelling

    Custom-built financial models supporting fundraising, feasibility studies, budgeting, and strategic decision-making, built to withstand scrutiny from banks, investors and regulators.

Depending on your specific need, you may require one service, the other, or both working together, for example, a valuation supported by the financial model used to derive it.

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Valuation Approaches We Use

There is no single definitive valuation approach. Which method, or combination of methods, applies depends on the nature of the business, the purpose of the valuation, and the quality of available data.

  • Income approach: relates the value of a business to its capacity to generate future cash flows, most commonly through Discounted Cash Flow (DCF) analysis, which is particularly suited to businesses with predictable earnings.
  • Market approach: benchmarks a company against comparable businesses using trading multiples, such as EV/EBITDA or P/E ratios, or against precedent transactions in the same sector.
  • Asset approach: estimates the cost of recreating a business of equivalent economic utility, based on the underlying value of its tangible and intangible assets.

In practice, more than one approach is often used, with results reconciled and weighted to arrive at a supportable final valuation, rather than relying on a single method in isolation.

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Where Our Valuation and Modelling Services Apply

Our team applies valuation and modelling expertise across a wide range of business situations.

  1. Transactions and deals

    Negotiation support, valuation of joint venture contributions, intellectual property and intangible asset valuation, review of management valuation estimates, and pre- and post-money valuation for equity investments, including IPO business plan valuations and pre-IPO valuations.

  2. Disputes and litigation

    Expert valuation determinations, opinions and reports for litigation support, shareholder agreement valuations, and acting as an independent expert or valuation expert witness.

  3. Financial reporting and compliance

    Purchase price allocations, impairment testing, valuations of unlisted investments for private equity, family groups, pension funds and sovereign wealth funds, and valuations prepared for submission to regulatory authorities.

  4. Strategic and portfolio decisions

    Investment appraisal, strategic option review including buy-versus-build analysis, assessment of optimal capital structure, and periodic portfolio valuations tracking performance against the original investment thesis.

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Financial Model Types We Build

Our model build services cover the full range of financial models a business is likely to need across its lifecycle.

  • Budget models: tracking planned versus actual performance to control costs.
  • Forecast models: projecting future performance based on historical trends and market assumptions.
  • Valuation models: supporting DCF or multiples-based valuation analysis.
  • M&A models: combining two companies’ financials to analyse synergies and deal impact.
  • Project finance models: evaluating the feasibility of infrastructure and capital-intensive projects, including tariff pricing for regulators and banks.
  • IPO and business plan models: detailed multi-year financial models prepared in line with tax, accounting and regulatory guidelines.

We also support real estate feasibility studies evaluating different land use options, capital budgeting and allocation, and models for restructuring, reorganisation and operational improvement projects.

Why Choose Farahat & Co. for Valuation and Modelling Services

With over a decade of experience in business valuation and financial modelling, our team combines financial experts, professional valuation analysts, auditors and business consultants who have built their expertise through hands-on, practical work.

  • Broad client base: we work with multinational corporations, government entities, small businesses, insurance companies, and individuals.
  • Standards-compliant work: every valuation and model is developed in line with prevailing accounting, regulatory and tax codes.
  • Full engagement range: from sale and purchase agreement valuations and IPOs through to partnership disputes and third-party liability matters.
  • Independent perspective: as an established audit and accounting firm, our valuations are trusted as an unbiased, objective third-party assessment.
  • Established track record: over four decades supporting UAE businesses across audit, accounting and advisory disciplines.

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Frequently Asked Questions

What is the difference between valuation and financial modelling?

Valuation is the process of determining what a business, share, or asset is worth. Financial modelling is the process of building a structured forecast of a business’s future financial performance, which is often used as the basis for a valuation.

What valuation approaches are commonly used?

The three primary valuation approaches are the income approach, most commonly Discounted Cash Flow analysis, the market approach, using comparable company or transaction multiples, and the asset approach, based on the value of underlying tangible and intangible assets.

When does a business need a valuation?

Businesses typically need a valuation when raising capital, onboarding a new investor or shareholder, pursuing a merger or acquisition, resolving a shareholder or partnership dispute, or preparing financial statements that require fair value reporting.

What types of financial models are commonly built?

Common financial model types include budget models, forecast models, valuation models, M&A models, project finance models, and detailed IPO or business plan models, each tailored to a specific business need.

Can Farahat & Co. review a financial model built internally?

Yes. Our model review service independently checks the accuracy of formulas, the reasonableness of assumptions, and the correctness of accounting and tax treatments in models built by internal teams or other advisors.

Do valuations need to comply with UAE accounting and tax regulations?

Yes. Valuations and financial models should reflect current UAE accounting, regulatory and tax requirements to be reliable and defensible, particularly where they will be submitted to regulators, auditors, or used in a formal transaction.

Can a valuation be used as expert evidence in a dispute?

Yes. Farahat & Co.’s valuation specialists can act as an independent expert or valuation expert witness, providing formal valuation opinions and reports for litigation and shareholder dispute purposes.

Who typically needs business valuation and financial modelling services?

These services are used by multinational corporations, private equity firms, family offices, government entities, startups raising capital, and individuals involved in shareholder or partnership disputes.

How is a purchase price allocation different from a standard business valuation?

A purchase price allocation allocates the total consideration paid in an acquisition across a target’s identifiable assets, liabilities and goodwill for financial reporting purposes, applying valuation techniques to each individual component rather than the business as a whole.

Can Farahat & Co. support both the valuation and the underlying financial model?

Yes. Farahat & Co. provides both dedicated Valuation services and dedicated Financial Modelling services, and can build the supporting financial model and the valuation derived from it as a coordinated engagement.
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