
Publication number: ELQ-97049-1
View all versions & Certificate

Discounted Cash Flow (DCF) Valuation Model by Excel for a Small Business
Discounted Cash Flow Valuation Model Using Excel
Further information
How to value a company, construct an integrated three statement financial model, and DCF valuation method. Building a skillset in financial modelling and equity valuations can transform your ability to understand a business and its value.
Note: A valuation is a technique in finance that looks to estimate the current worth of an asset or company.
A discounted cash flow valuation is used to determine if an investment is worthwhile in the long run. For example, in investment banking, a DCF valuation is used to determine if a potential merger or acquisition is worth it. Additionally, DCF valuation is used in real estate and private equity.
Outside of corporate finance, DCF valuations can help business owners make budget decisions and determine their own projected value.