The Break-up Valuation Method is one of the business valuation methods under the income approach which is applied for estimating the fair market value of a closely held business enterprise or an interest in such an enterprise. The essence of this method is to estimate the fair market value of an enterprise on the basis that the business is not going to be sold whole but in to give the owner the best possible price for each asset. The valuation conclusion from this method measures the amount that would be received if the business were broken up and sold off in pieces. Even though this method takes into account the value of the assets and liabilities of the business, has a weakness as the method does not take into account any outstanding liabilities. Business valuation professionals use the break-up method sometimes for a merger or acquisition valuation especially if it involves only part of a business or its assets.