Viewpoint on Value

Showing 49–64 of 306 results

  • Trick or treat – Could a shareholders’ agreement come back to haunt (or help) you?

    September / October 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 463

    Abstract: Shareholders’ agreements often include buyout provisions, governing transfers of stock if an owner leaves the business. These provisions may, for example, prescribe a fixed price, valuation discounts for lack of control or marketability, and procedures for valuing the business during a shareholder buyout. This article summarizes a divorce case where a Louisiana appellate court upheld a trial court decision to partition assets based solely on the fixed value prescribed in the shareholders’ agreement. Baumbouree v. Baumbouree, La. App. 3 Cir., 202 So.3d 1077, No. 15–1053, July 13, 2016

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  • 4 key ways public and private companies differ

    September / October 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 566

    Abstract: Public company data often serves as the basis for valuing privately held businesses. This article highlights four important differences between these types of businesses that valuation experts need to consider: size, level of sophistication, access to capital and internal controls.

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  • Valuing S corporations – Tax law introduces qualified business income deduction

    September / October 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 686

    Abstract: The Tax Cuts and Jobs Act (TCJA) introduces a new twist in the tax-affecting debate for S corporations — a tax deduction equal to as much as 20% of qualified business income (QBI) that attempts to level the tax playing field between C corporations and pass-through entities, including S corporations. This article explains the rules and limitations for taking the QBI deduction — and why it’s important for business valuation experts to factor in these rules on a case-by-case basis.

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  • Benchmarking performance in business valuation

    September / October 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 841

    Abstract: One way business valuation experts gauge company-specific risk is to benchmark financial performance over time and against competitors. This article explains critical benchmarks that experts monitor: profitability, liquidity, asset management and leverage. A sidebar discusses the importance of understanding differences in accounting methods when analyzing financial results.

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  • Finch v. Campbell – Prior business valuations may come back to haunt you

    July / August 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 443

    Abstract: Two divergent valuation reports were prepared for a law firm: first, in 2012 for a partner’s divorce in 2012; second, in 2014 for a partner dispute. This article explains how the discrepancy between the conclusions was handled by the courts, highlighting the importance of disclosing prior business valuations and reconciling any discrepancies to preserve the admissibility of appraisal evidence. Finch v. Campbell, Mo. App., 2017 WL 6329924, December 12, 2017

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  • Ready, set, sell – Business valuation experts can provide insight during M&As

    July / August 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 578

    Abstract: A recent survey reported an active merger and acquisition (M&A) market for small businesses in 2017 — and that momentum has continued in 2018. This article explains how business valuation professionals can help owners prepare for sale and increase the chances of receiving a premium selling price.

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  • Factoring fraud into the business valuation equation

    July / August 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 624

    Abstract: Business valuations typically are not designed to unearth fraud. But experts need to be on the lookout for signs of fraud and, when necessary, may expand the scope of the engagement to include forensic accounting services. This article explains how business valuation experts assess fraud risks and adjust their procedures to achieve an accurate conclusion.

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  • How the new tax law affects divorce settlements and business valuations

    July / August 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 928

    Abstract: Business valuation experts often help formulate settlement offers in divorce cases. This article highlights provisions of the Tax Cuts and Jobs Act (TCJA) that could affect divorce settlements, including elimination of the deduction for alimony payments, restricted deductions for state and local taxes, expanded uses of Section 529 education plans and reductions in business tax rates. A sidebar defines alimony under the tax rules that will apply through 2018.

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  • Garbage in, garbage out – Court rejects DCF model based on flawed projections

    May / June 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 406

    Abstract: The Delaware Court of Chancery deferred to the deal price, not a DCF analysis, in a recent going-private merger of pet specialty retailer PetSmart. Though DCF is often seen as the “gold standard” among valuation tools, this article shows how this method is only as reliable as its underlying assumptions. In re Appraisal of PetSmart, Inc., Delaware Ch., C.A. No. 10782-VCS, May 26, 2017

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  • How will new accounting rules affect the valuation process?

    May / June 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 621

    Abstract: Under U.S. Generally Accepted Accounting Principles (GAAP), two new accounting rules on revenue recognition and leases will soon go into effect for public companies. (Private companies get an extra year’s reprieve.) This article explains that these changes could have a major impact on how business valuation professionals evaluate financial statements, apply pricing multiples and estimate a company’s cost of capital.

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  • Classifying shareholder “loans”

    May / June 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 686

    Abstract: Valuation professionals must decide whether shareholder loans are bona fide debt obligations, a type of equity transaction or a hybrid of the two. Debt vs. equity classification has relevance when valuing a business, as well as in divorce cases. This article explains why the distinction matters and what factors the IRS considers when deciding what qualifies as a bona fide loan. In re Appraisal of PetSmart, Inc., Delaware Ch., C.A. No. 10782-VCS, May 26, 2017

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  • 3 questions to ask about tax reform when valuing a business

    May / June 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 862

    Abstract: The Tax Cuts and Jobs Act (TCJA) is the biggest change to the tax law in over 30 years. This article explains why it’s important to consider 1) how tax reform will specifically affect the subject company’s cash flow, 2) how management plans to use any tax savings, and 3) whether management’s projections seem reasonable. A sidebar explains how the new law could also affect a company’s tax base (the amount to which new, lower tax rates will be applied).

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  • Make business valuation experts a forethought, not an afterthought

    March / April 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 421

    Abstract: Too often, valuation experts are hired months after a case is filed or just before it goes to trial. This limits the documents and procedures that they can use to perform their analysis. This article reminds attorneys that it’s important to hire experts early in the litigation process and ask for relevant items during discovery.

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  • Estate of Kollsman – The valuation of art . . . and the art of valuation

    March / April 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 594

    Abstract: The U.S. Tax Court recently decided a high-profile estate tax case involving the valuation of two Old Master paintings from the 17th century. This article summarizes the details of this case and explains how it has implications that extend to valuations of other types of assets. Estate of Kollsman v. Commissioner, T.C. Memo. 2017-40 (Feb. 22, 2017)

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  • 3 ways valuation experts adjust financial statements

    March / April 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 656

    Abstract: Business valuation experts can’t always accept the subject company’s financial statements at face value. Sometimes adjustments are needed before an expert can use the financial statements to value a business. This article provides three common types of adjustments and explains when each one might be relevant.

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  • Avoid common pitfalls when applying the income approach

    March / April 2018
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 846

    Abstract: Valuing a business using projected earnings is a complex undertaking. This article identifies common pitfalls that novice or untrained valuators tend to make when using the income approach. A sidebar compares and contrasts two methods that fall under the income approach: the capitalization of earnings and discounted cash flow methods.

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