BUSINESS VALUATION IN CORPORATE GOVERNANCE

This article examines the theoretical foundations and methodological approaches to business valuation within the corporate governance system, as well as its significance in managerial decision-making. The aim of the study is to identify the conditions under which business valuation methods can be applied and to explore the possibilities of using valuation results to formulate corporate strategy, shape investment policy, and align the interests of owners. The study is based on literature review, comparative analysis, and theoretical generalization. The income, market, and cost approaches are compared in terms of their information requirements, the operational characteristics of enterprises, and the purpose of valuation. The analysis considers the effects of financial reporting reliability, information transparency, capital structure, cash flow forecasting, and management risks on valuation results. Particular attention is paid to distinguishing enterprise value from equity value, determining the valuation date, and justifying the assumptions used in calculations. Rather than limiting valuation results to a single figure, the article proposes an approach that demonstrates the range of potential value fluctuations through alternative scenarios and sensitivity analysis. The stages involved in integrating business valuation into corporate governance are summarized, including defining the purpose of valuation, verifying data, selecting appropriate methods, reconciling results, and conducting periodic revaluations. The article concludes that managerial decisions aimed at increasing business value should simultaneously account for long-term cash flows, risks, and responsibilities toward stakeholders. The study is theoretical in nature and does not present empirical calculations for any specific enterprise.