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Viewpoint on Value

Showing 1–16 of 310 results

  • Optical Works and Logistics v. Sentinel Insurance Company – Using financial experts to support business interruption claims

    November / December 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 443

    Abstract: As a result of pandemic-related shutdowns, many businesses have filed claims under their business interruption insurance policies. These claims have resulted in litigation over the scope of coverage and the meaning of key policy terms. This article highlights a pre-COVID-19 case that demonstrates the importance of using a financial expert to determine losses when making business interruption claims. Optical Works and Logistics v. Sentinel Insurance Company, No. 15-163-JJM-LDA, D.R.I., March 26, 2020

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  • Handle financial testimony by lay witnesses with care

    November / December 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 576

    Abstract: When business owners or other laypeople testify on complex financial or valuation issues, there’s a risk that their testimony will be found inadmissible in commercial litigation. This article explains the Federal Rules of Evidence that apply to these witnesses and how a credentialed financial expert can help avoid potential pitfalls. United States ex rel. Technica, LLC v. Carolina Cas. Ins. Co., No. 08-CV-01673-H (KSC), S.D. Cal., April 11, 2012 Ruhr v. Immtech International, Inc., 570 F.3d 858, 7th Cir., June 30, 2009

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  • Restructuring: How business owners can get their groove back

    November / December 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 692

    Abstract: The COVID-19 crisis has affected virtually every business. Many small business owners may be ready to throw in the towel, but restructuring can provide a fresh start. This is a highly complex process that requires continuous monitoring to be effective. This article outlines four ways financial experts can help management get back in the groove by harnessing cash flow and actively managing the company’s finances.

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  • Calculation vs. conclusion of value – Which level of service is appropriate in litigation?

    November / December 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 863

    Abstract: Business valuation experts generally can be engaged to provide either a “conclusion of value” or a “calculation of value.” While these terms sound similar, this article explains the significant differences between these two types of engagements. A sidebar highlights a rare case in which a calculation of value was used to estimate the value of a medical practice for divorce purposes. Horne-Ballard v. Ballard, No. 2180194, Ala Civ. App., Jan. 24, 2020

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  • Estimating lost profits using the before-and-after method

    September / October 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 449

    Abstract: In Memorial Hermann Health System v. Gomez, a Texas appellate court upheld a compensatory and punitive damages award to a cardiovascular surgeon. The doctor’s employer raised several issues on appeal, including an argument that evidence of lost profits was legally insufficient. This article explains why the appellate court disagreed. Memorial Hermann Health System v. Gomez, 584 S.W. 3d 590 (Tex. App. 2019)

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  • Grieve v. Commissioner – Subsequent events: Tax Court rejects speculative assumption

    September / October 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 579

    Abstract: In a recent gift tax case, the U.S. Tax Court accepted the taxpayer’s value, which included discounts for lack of control and marketability. This article explains that the IRS erroneously based its value on speculative, improbable actions. Grieve v. Commissioner, TC Memo 2020-28 (March 2, 2020) Olson v. United States, 292 U.S. 246, 257 (1934)

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  • Factor current risks into the cost of capital

    September / October 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 613

    Abstract: Estimating discount rates is a complex task — even in the best of times. This article explains how today’s volatile economy has forced valuation experts to re-evaluate traditional methods of quantifying discount rates.

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  • How COVID-19 affects divorce cases – Pandemic creates unique business valuation challenges

    September / October 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 837

    Abstract: The COVID-19 pandemic has had a devastating impact on the economy and created significant uncertainty. This article explains how the current environment presents unique challenges as couples in divorce proceedings strive to reach an equitable property division agreement. A sidebar explains the issue of double-dipping and summarizes a recent divorce case where an Ohio appellate court allowed double-dipping. Kim v. Kim, C.A. Nos. 28684, 29144 (Ohio Ct. App., January 8, 2020)

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  • Factoring governing documents into the valuation equation

    July / August 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 424

    Abstract: When valuing a business interest, it’s critical to examine organizational documents. This article explains how a business valuation expert reviews governing documents to assess the interest’s relative levels of control and marketability, as well as the cash flows the interest is entitled to receive.

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  • Financial statement adjustments are essential in business valuation

    July / August 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 552

    Abstract: Under the income and market approaches, the value of a business is based on how much earnings it will generate in the future. Historical results are a helpful starting point, but they usually need to be adjusted when projecting future performance. This article highlights various types of adjustments that valuation experts consider and explains how the novel coronavirus (COVID-19) pandemic may require special consideration when valuing businesses going forward.

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  • How will financial reporting changes affect the valuation process?

    July / August 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 609

    Abstract: The Financial Accounting Standards Board has issued several major updated accounting standards in recent years, and the implementation process is underway. This article summarizes the changes to revenue recognition, lease and credit loss rules — and how they might impact the process of valuing a private business.

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  • R.D. Clark & Sons – Tax-affecting debate continues

    July / August 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 843

    Abstract: For decades, business valuation experts and the IRS have been at odds regarding the practice of “tax affecting” the earnings of pass-through entities. This article summarizes a recent Connecticut appellate court decision on this issue, which highlights both sides of the debate — and the importance of considering the facts of the specific case. A sidebar discusses an apparent softening of the U.S. Tax Court’s stance on this matter. R.D. Clark & Sons, 194 Conn. App. 690 (2019) Estate of Jones, TC Memo 2019-101, August 19, 2019 Gross v. Commissioner, T.C. Memo. 1999-254, aff’d. 272 F. 3d 333 (6th Cir. 2001), cert. denied, 537 U.S. 827 (2002)

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  • The challenges of valuing promissory notes

    May / June 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 434

    Abstract: Business valuation professionals are sometimes asked to determine the fair market value of a promissory note, typically in connection with gift or estate tax matters involving intrafamily loans or sales. This article shows why this task is often more complicated than it seems at first blush.

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  • How to value “profits interests” in LLCs

    May / June 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 653

    Abstract: Limited liability companies (LLCs) sometimes offer a unique form of equity-based compensation known as “profits interests.” These awards don’t convey the full rights of ownership. This article describes why it’s important to understand the specific terms of an award and how a unit’s terms and conditions affect the method of valuation.

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  • Spotlight on patent infringement – Recent Federal Circuit case offers guidance on the EMVR

    May / June 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 838

    Abstract: In general, a patent holder seeking infringement damages must apportion profits or royalties between the patented feature and any unpatented features of the infringing product. But there’s an important exception to apportionment known as the “entire market value rule” (EMVR). This article explains what it takes for a plaintiff to invoke the EMVR and summarizes a recent U.S. Court of Appeals case. A sidebar discusses why certain commenters think this case sets the bar too high. Power Integrations, Inc. v. Fairchild Semiconductor International, Inc., 904 F.3d 965, Fed. Cir. 2018 VirnetX, Inc. v. Cisco Systems, Inc., 767 F.3d 1308, Fed. Cir. 2014

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  • Cost approach – Taking the balance sheet to a different level

    May / June 2020
    Newsletter: Viewpoint on Value

    Price: $225.00, Subscriber Price: $157.50

    Word count: 567

    Abstract: The cost (or asset-based) approach specifically focuses on a company’s balance sheet. This article explains how this approach works and when it might be an appropriate method of valuation.

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