VV
Showing 289–304 of 382 results
-
What to look for in an appraiser
March / April 2012
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 388
Abstract: Many business owners and attorneys are unsure about what credentials to look for when they need a business appraised. This brief article uses some recent court decisions to illustrate the importance of formal business valuation experience as well as knowledge of the industry in question. Ringgold Telephone Co. v. Commissioner, T.C. Memo 2010-103, May 10, 2010; Michael Viner et al. v. Charles A. Sweet et al., No. B138149, Cal. App. 2d Dist., Sept. 28, 2001; R&R International v. Manzen LLC, 2010 WL 3605234, S.D. Fla., Sept. 12, 2010.
-
Getting a fair deal — A fairness opinion can help
March / April 2012
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 800
Abstract: A fundamental question concerning any business transaction is whether it’s a fair deal. But how is fairness determined? A fairness opinion stating whether a proposed merger, acquisition or other transaction seems fair in light of the financial circumstances is typically the first step. But the fairness opinion must be well supported and well reasoned to hold up to legal scrutiny. This article defines a fairness opinion and explains why companies might need one.
-
Winning the battle, but losing the war — A look at Estate of Gallagher
March / April 2012
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 717
Abstract: A recent U.S. Tax Court case addressed, among other things, the admissibility of subsequent data, the guideline public company method, tax affecting, and valuation discounts, providing insight into the court’s stance on a broad range of valuation issues. The article notes that, though no additional tax liability was assessed against the estate, the decision wasn’t entirely a victory for taxpayers, because the court sided with the IRS on many key issues.
-
Who, what, why and when? — Preparing for an appraisal
March / April 2012
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 905
Abstract: Business owners, attorneys and other interested parties who understand valuation terms, anticipate information requests and provide reasonable timelines will be able to minimize errors and surprises. This article explains how to outline the parameters of a valuation assignment, including its standard and basis of value. It also lists some of the important data the valuator compiles concerning the subject company and emphasizes the importance of early and ongoing communication with the appraiser to ensure needs are met.
-
Are draft reports discoverable?
January / February 2012
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 390
Abstract: Federal courts have loosened the restrictions on the discoverability of draft reports. But many exceptions exist, so it’s wise to remain cautious when exchanging documents with expert witnesses. This brief article summarizes the recent update of Federal Rule of Civil Procedure (FRCP) 26, which facilitates freer exchange of information between attorneys and expert witnesses. While sharing draft reports and other documents is no longer taboo, prudent experts and attorneys need to understand the limits of the new Rule 26.
-
Impairment test makeover — Requirements for testing goodwill are revised
January / February 2012
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 700
Abstract: This past September, the Financial Accounting Standards Board (FASB) revised the requirements for testing goodwill impairment for public and private entities. Because the new qualitative pretest is optional, managers and directors may wonder if they still need an outside appraiser to gauge impairment. This article reviews the basics of goodwill impairment and lists some particulars of the FASB update. Because the new pretest introduces an element of uncertainty to reporting goodwill and other intangibles, an outside opinion by a valuation professional can provide needed guidance and support.
-
All the right questions: Is your expert — or the opposing expert — qualified?
January / February 2012
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 801
Abstract: How does a business owner or attorney know whether the appraiser they’re about to hire has what it takes — or whether an opposing expert has the required expertise? This article discusses how to determine whether a valuation expert is on top of his or her game. The article notes that valid valuation credentials, clear areas of expertise, knowledge of valuation basics and report thoroughness are just some of the areas to consider in evaluating a valuation candidate. A sidebar explains what a "Daubert challenge" is.
-
Accept no shortcuts when valuing ESOs
January / February 2012
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 982
Abstract: Employee stock options aren’t just for start-ups and high-tech firms anymore. ESOs not only save on cash, but they also provide an incentive to increase profits and build value. But the administrative side of issuing ESOs can be fraught with complications. This article explains how valuation professionals can help guide businesses through the ESO minefield. The article notes that businesses need to be aware of the accounting and tax requirements involved, and points out that reasonable stock and option valuations prepared by independent valuators can make all the difference.
-
Determining business value — Site visits can make all the difference
November / December 2011
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 759
Abstract: A site visit is an important step that can make all the difference in determining a company’s value. The most obvious reason appraisers perform site visits is to gain a better understanding of how the company operates and view the onsite factors that may enhance — or decrease — the company’s value. This article explains how valuators conduct such visits and what they look for.
-
Does goodwill equal noncompete?
November / December 2011
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 390
Abstract: Goodwill is one of the gray areas in divorce. Most states specifically exclude all or part of goodwill when dividing the marital estate. A recent Ohio divorce case eliminates the guesswork by equating a dentist’s personal goodwill with the portion of the actual selling price that was allocated to a noncompete agreement. This article looks at the details.
-
The what, when, how and who of blockage discounts
November / December 2011
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 681
Abstract: Discounts for lack of control and marketability are common in business valuation. But a lesser-known discount for blockage may apply when valuing large blocks of public stock with limited trading volume. This article describes what blockage discounts are, when they apply and how valuators quantify them.
-
Transaction databases: Handle with care
November / December 2011
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 923
Abstract: Transaction databases reveal details of thousands of real-life stock sales, whether public or private, control or minority. But, used incorrectly, these databases can mislead — or skew the results. Handling these elements effectively requires competence, expertise and experience. This article explores the differences between various databases and how to select one or more pricing multiples. A sidebar explains the assumptions that appraisers make about what constitutes a “guideline” transaction.
-
The benefits of collaborative divorce
September / October 2011
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 372
Abstract: This brief article explains collaborative divorce, a way to split up marital estates amicably and creatively while minimizing professional fees and court costs. In collaborative divorce, each side hires its own attorney, and then the parties meet regularly to brainstorm settlement options. Collaborative divorce can save time and money because it requires just one neutral financial expert.
-
Sanity check — When to use the excess earnings method
September / October 2011
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 697
Abstract: The IRS developed the excess earnings (or formula) method in the 1920s as a way to compensate breweries and distilleries for intangible value lost during the Prohibition era. Appraisers still use this method to value businesses in a variety of industries. This article outlines the fundamentals of the method and notes its benefits and pitfalls. The article points out that, while this method is rarely used as a sole method of valuation, it may provide a useful sanity check for other methods.
-
Will your deal fall through? — Avoiding M&A pitfalls
September / October 2011
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 794
Abstract: Many mergers and acquisitions (M&As) fall through because they fail to make sound financial sense. Sometimes M&A participants rely on industry rules of thumb, which prove insufficient as the sole basis for a deal. This article talks about the problems that may occur when buyers overpay. It also notes the need for thorough due diligence conducted by a financial expert to determine whether a proposed deal will hold up in the real world.
-
A valuator’s insight into buy-sell agreements
September / October 2011
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 945
Abstract: Buy-sell agreements provide much-needed protection when an owner involuntarily leaves — or voluntarily wants out of the business. A comprehensive agreement not only defines the term “value,” but it also incorporates buyout terms and includes provisions for various buy/sell scenarios and contingencies. This article explains the importance of a valid buy-sell agreement and the significant role an appraiser plays in ensuring the agreement is sound — thus minimizing potential conflicts down the road. A sidebar discusses using key-person insurance to fund buyouts.