How does market volatility affect the fair market value of SMEs?
Understanding market volatility's impact on small and medium-sized enterprises (SMEs) is crucial for your business strategy. SMEs often have less financial flexibility than larger corporations, making them more susceptible to market fluctuations. Market volatility refers to the variation in the price of assets in a market and can be caused by various factors such as economic indicators, political instability, or natural disasters. For SMEs, this volatility can significantly influence their fair market value, which is the price at which a business would sell in an open and competitive market. It's essential to grasp how these fluctuations can alter the perceived value of your business and prepare accordingly.
-
Amit TiwaryFounder - ProCFO | Virtual/Fractional CFO | Chartered Accountant | Finance & Strategy Consulting
-
John MillerTHE STARTUP CFO | Follow for posts about financial focus, startup strategy and leadership
-
Tiago Henrique BonaGerente de Tecnologia | Mestre em Direção Estratégica | Top Voice Project Management