Valuation Methods of Sports Companies

• Authors: Zbigniew Pawlak , Andrzej Smoleń
• Languages of publication: EN

Abstracts

EN

The valuation of sports companies is indispensable during commercial buy and sell transactions, restructuring processes, determining premiums for the purposes of property insurance.For the valuation of sports companies four approaches are possible i.e. assets-based, income-based, market-based and mixed-valuation approaches. For each approach there are specific company valuation methods. Using real-life examples, this paper discusses the following sports companies' valuation methods: book value, adjusted book value, replacement, liquidation, capitalized profit, discounted cash flow, comparative worth, market multiples and German valuation method. The mixed approach using the German method is applied when the output prices from conventional company valuation methods vary too much, and differences in values exceed 25%.From the management accounting perspective the skilful application of valuation methods to sports companies should be regarded as one of the prerequisites for effective management of sports companies.

Keywords

EN

valuation methods of real estate; sport joint stock companies

• Publisher: Sciendo
• Journal: Physical Culture and Sport. Studies and Research
• Year: 2009
• Volume: 46
• Issue: 1
• Pages: 243-253

Dates

published

2009-12-01

online

2009-12-31

Contributors

author

Zbigniew Pawlak

• Warsaw School of Economics, Poland

author

Andrzej Smoleń

• Josef Pilsudski University of Physical Education in Warsaw, Poland

References

• Herman, A., Szablewski, A. (Ed.) (1999). Company Value Management. Warsaw: Poltext Publishing House.
• Jaki, A. (2004). Company Valuation. Premises, Procedures, Methods. Crocow: "Oficyna Ekonomiczna" Publishers.
• Malinowska, U. (2001). Company Valuation Methods in Polish Realities. Warsaw: DIFIN Publishers.
• Nita, B. (2007). Valuation and Company Value Management Methods. Warsaw: PWE Publishers.
• Szczepkowski, P. J. (2001). Learning the Value of Own Business. Warsaw: JPiS Publishers.

Identifiers

DOI

10.2478/v10141-009-0021-1