The Value of As-Is-Where-Is

As-Is-Where-Is value in business means exactly that.  It is also a crucial clarification that must be made at the onset of every deal to be undertaken.

When defining the statement “As-is Where-is,” it is simply the state in which the company or project currently stands without the inclusion of additional assets or liabilities as of a certain date and time.

For instance, if a company is looking to purchase additional assets and needs funding from an external source such as an investor, the value presented by that company would be that funding takes place and thus not include the additional assets post-funding.

The importance of separating the two values of pre- and post- funding will go a long way in establishing the necessary values for requesting funding and eliminating future misunderstandings that can lead to dismissal of a funding request.

Lastly, the promoter of a project should know its value more than anyone but with that said, the assistance of appraisal or valuation firms can provide expert knowledge in determining the different values.

Always make sure that you make an informed decision in all cases,

All the Best,

The Capital Corp Team

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