Valuation provisions to incorporate into buy-sell agreements
A buy-sell agreement can be an important tool to ensure a smooth transfer of ownership in the case of an owner’s death, disability or divorce. But it’s critical for these agreements to cover all the valuation bases.
Read More Looking to the future when valuing a business
Hypothetical investors would review historical financial statements, but they’d be more interested in a company’s future economic benefits.
Read More Discounting vs. capitalizing: Common business valuation methods at a glance
Future earnings are often used to estimate the value of a private business interest. Here’s how two popular earnings-based valuation methods measure up.
Read More Putting a price tag on intangible assets
How much are intangible assets worth in today’s volatile marketplace? Here’s how to find the answer.
Read More How business valuators estimate the DLOM in a volatile market
Discounts for lack of marketability can have a major impact on the value of a business interest. Here’s a look at factors that business valuation professionals consider when quantifying this discount.
Read More Will your business valuation expert survive a Daubert challenge?
Solid expert testimony can make or break a case. So it’s critical to take steps to help ensure that your business valuator will withstand a Daubert challenge.
Read More Going concern value, liquidation value or somewhere in between?
Do you know the difference between going concern value and liquidation value? The latter has relevance beyond bankruptcy cases.
Read More Finding comparable transactions to use in business valuation
Pricing multiples derived from objective market data can be powerful indicators of business value. The challenge lies in identifying meaningful comparable transactions.
Read More Business valuations needed for private stock donations
Donating private business stock to a charity can help lower taxes. But you’ll need to act before year end to get a deduction for 2022. Here’s how to claim the tax break and help ensure it passes muster with the IRS.
Read More Measuring residual value for the discounted cash flow method
Residual (or terminal) value can be a major part of the valuation puzzle. Here are two ways that it can be calculated.
Read More Valuing LLC profits interest awards
Profits interest awards can be an effective way for LLCs to attract and retain skilled workers, especially if cash is tight. But these awards present valuation challenges that most companies can’t handle in-house.
Read More Valuing goodwill in divorce: Recent cases provide insight
Settling a divorce can be complicated when a closely held business is involved. In addition to estimating business value, the issue of business vs. personal goodwill might need to be tackled.
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