Valuation of assets in Bulgaria is done in accordance with general and specific requirements set out by the Bulgarian Valuation Standards 2018 without interfering with the International Valuation Standards 2020 and European Valuation Standards 2020.
There are three main methods used in valuation which are also thoroughly described in the above-mentioned standards –market approach, income approach and cost approach. Each one of these is applied via various methods depending on the context.
Valuers are not required to use more than one method in the valuation of an asset especially when the valuer is experienced, and their opinion can be trusted. They, however, should consider the possibility of implementing other methods to derive the final value of an asset particularly when there isn’t enough evidence and data so as to enable the use of just one method.