In appraisal terms, what does "Going Concern" refer to?

"Going Concern" in appraisal terms specifically refers to the tangible and intangible assets of an established and operating business. This concept implies that the business is currently operational and is expected to continue its operations into the foreseeable future, generating profits and cash flows.

In this context, the appraisal focuses not only on the physical assets (like buildings and equipment) but also on intangible assets such as brand reputation, customer relationships, and operational systems that contribute to the overall value of the business. This is critical in determining the overall worth of a business as a whole, rather than just valuing the physical real estate or assets in isolation.

Other options presented may touch on aspects of property valuation but do not encompass the full scope of what "Going Concern" signifies in the appraisal industry. For example, the expected lifespan of a property's market value and estimated future cash flow are related, but they do not capture the underlying value of the business as an operational entity. Similarly, maximum potential profit and tangible assets can be considered in appraisals, but they do not address the operational continuity of the business itself, which is central to the "Going Concern" concept.