Valuation methods & enterprise value · Core

Synergy

Also called: combination benefit

ELI5

Incremental value expected from combining businesses or assets.

Used in conversation

“Use the same basis for synergy across every comparison.”

Pitch context

You will see “Synergy” in financial models, budgets, board packs and investor materials when the discussion reaches valuation methods & enterprise value.

Why it matters: In valuation methods & enterprise value, a loose definition can change rights, obligations, approval, disclosure or enforceability.

Caution

Meaning, enforceability and required process vary by jurisdiction and agreement; this definition is not legal advice.

Sources & evidence · 5

Direct term-level sources and supporting source families.