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• The Asset Based Approach - (The Cost Approach) consists of each component of a business valued separately; then combined to arrive at a total value. Values of any liabilities must be subtracted from the total value of the assets to determine the value of the business.
• The Market Approach - (Sales Comparison Approach) is based on the principal of substitution. For any possible investment, there can be a similar investment. Values of comparable substitutes are determined and used to estimate the value of the business.
• The Income Approach - examines the earning capacity of the business, so a value can be derived based on its cash generating ability.

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