Valuation Report Excerpts Using Pepperdine to Estimate a Discount Rate

Business Valuation UpdateVol. 30 No. 8
August 2024
cost of capital
cost of capital, discount rate, private company valuation, risk analysis, risk-free rate, cost of equity, equity risk premium (ERP)

Summary

Sample language adapted from actual valuation reports using information from Pepperdine’s “2024 Private Capital Markets Report” to estimate cost of capital for a small business, including an adjustment for company-specific risk.