Going-Concern Value

Definition: The value of an operating business as a continuing enterprise, potentially including real estate, equipment, and intangible business value.

Example

An operating hotel's overall value includes more than the land and building alone.

Keep the distinction clear

Do not equate going-concern value with the market value of the real estate interest. A business valuation may require separating property, personal property, and intangible components.

Related terms

Goodwill · Intangible Asset · Market Value

Keep studying

CMA vs. Appraisal: What Is the Difference?

References: FREC Course II syllabus: investment concepts

Pronunciation (US): GOH-ing kun-SURN VAL-yoo (capitals show stress)

Pronunciation reference: Merriam-Webster