Why do businesses need to appraise investment projects?

Not every project is accepted, because it depends on many different factors such as investor reputation, the current time, the benefits from the project to the society ... The reason why the state management units always apply the evaluation of investment project value to see if this project has any issues to solve and can be implemented or not.

WHAT IS THE VALUATION OF INVESTMENT PROJECTS?

Appraisal means the examination and evaluation of investment deciders, investors, and construction-specialized agencies on necessary contents in the process of preparing and executing construction investment projects. Department of review and approval.

Appraisal of investment projects is the objective and scientific research and analysis of all economic and technical contents of a project. Put them in relation with the natural environment, socio-economic to decide the investment, funding the project.

Preparation and appraisal of investment projects to deal with the following jobs:

- Reviewing whether the entire project contents have been made fully or not.

- Compare the projects targets with the standards that investors expect.

- Conclusion whether this project is invested or not, whether it is beneficial or not.

OBJECTIVES OF EVALUATION OF INVESTMENT PROJECTS

Appraisal of an investment project is the determination of its true value on the basis of comparison with acceptance criteria, or with other alternative projects. The true value of a project is expressed through: legality, rationality, practicality and efficiency. Therefore, appraising the value of investment projects helps the state agencies determine.

- The compatibility of the project objectives with the socio-economic development strategic objectives of the locality, the country or the goals that the investors have determined.

- Are the technology and technology of the project suitable with the qualifications and requirements of the industry in the project implementation period?

- The financial capability, the supply with the inputs, the ability and management ability to operate the equipment of investors.

- The role of the investment project and the benefits that the project brings to investors and the country. At the same time ensure the safety of people and other activities in the project area.

Appraising the value of an investment project in accordance with Vietnams valuation standards as a basis for considering and approving the investment project to see if the project is feasible and beneficial to society. Assess the sources and magnitude of risks, as well as how to minimize them.

PURPOSE OF EVALUATION OF VALUE OF INVESTMENT PROJECTS

The performance of valuation of investment projects serving important jobs of enterprises is as follows:

- Negotiating the transfer, contribute capital to joint venture.

- For the purpose of equitizing State enterprises.

- Serving the purpose of state management of localities.

- For the purpose of proving the financial capacity of organizations and individuals.

- Other purposes

DOSSIER OF EVALUATION OF INVESTMENT PROJECTS

- The investors report, enclosed with the research report.

- Document approved feasibility study report.

- The documents have legal value.

- Written confirmation of mobilization ability.

- Certificates of land use rights.

- Land allocation decision.

- Detailed project planning.

- Project planning drawings.

Appraisal of investment projects is a must for any investor before investing. This process will examine, consider and comprehensively assess the contents affecting the economic, social and feasibility of the project. This helps investors to decide whether or not to invest in this project.

For more details about the appraisal process, the principle of appraising investment projects ensures legal safety. Businesses, please contact us - the leading company appraising investment projects today for advice as soon as possible. Surely your business will be satisfied with the way to work quickly and enthusiastic, dedicated support by our professional consulting staff.

Indochina International Investment & Appraisal Joint Stock Company (INA)

Address: 121 Nguyen Van Troi, Ward 12, Phu Nhuan District, Ho Chi Minh City

Hotline: 0934 252 707 / Email: info@inavn.vn