VV
Showing 97–112 of 382 results
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How do nonoperating assets and liabilities affect business value?
November / December 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 434
Abstract: When valuing a business, it’s important to identify nonoperating assets and liabilities that may have a significant impact on value. This article explains how valuation experts alter their methodology to factor nonoperating items into the valuation equation, using a hypothetical example to highlight how these assets may affect the value of the enterprise.
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Telfer v. Telfer – Discount for lack of marketability upheld on appeal
November / December 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 690
Abstract: Courts are divided on whether to allow discounts when valuing business interests in shareholder disputes and divorce cases. Whether discounts are equitable typically depends on state law, case facts and, ultimately, the court’s discretion. This article discusses a recent divorce case in which the Tennessee Court of Appeals upheld a discount for lack of marketability taken on the appreciation in value of two business interests that were included in the marital estate. Telfer v. Telfer, 558 S.W.3d 643 (2018)
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Beware of forensic accounting issues when calculating lost profits
November / December 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 601
Abstract: Estimating lost profits isn’t always cut and dried. It’s important to look behind the numbers for signs that they might have been manipulated or falsified. This article describes how financial experts calculate lost profits and how professional skepticism helps ensure those calculations are reasonable.
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3 reasons to use valuation pros in estate planning
November / December 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 817
Abstract: Some business owners design their estate plans without consulting a business valuation professional. But do-it-yourself valuations can be risky. This article explains how credentialed valuation experts help business owners plan for the future. A sidebar highlights the importance of taking advantage of the expanded federal gift and estate tax exemption before it expires.
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Adjusted deal price or unaffected market value? Delaware Supreme Court reverses “fair value” ruling
September / October 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 450
Abstract: Delaware’s Supreme Court recently struck down a controversial statutory appraisal decision in Verition Partners Master Fund Ltd. v. Aruba Networks, Inc. This article explains why the appeals court rejected exclusive reliance on the unaffected (premerger) market price in favor of the deal price adjusted for synergies. Verition Partners Master Fund Ltd. v. Aruba Networks, Inc., 2019 WL 1614026 (Del. Apr. 16, 2019) DFC Global Corp. v. Muirfield Value Partners, L.P., 172 A.3d 346 (Del. 2017) Dell, Inc. v. Magnetar Global Event Driven Master Fund Ltd., 177 A.3d 1 (Del. 2017)
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Searching for hidden assets and unreported income in divorce
September / October 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 525
Abstract: When high net worth individuals file for divorce, both sides have a financial incentive to hide assets owned by their spousal “partnership.” So, it’s important to inventory the marital estate as soon as possible. This article discusses some ways spouses may attempt to conceal their wealth and techniques that financial experts use to investigate.
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The cost of capital counts!
September / October 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 696
Abstract: The cost of capital is an important consideration when valuing a business under the income approach. This article explains how business valuation experts determine the “optimal” capital structure for a business and why it matters.
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To tax affect or not to tax affect? Federal case revives the tax-affecting debate for pass-through entities
September / October 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 872
Abstract: In Kress v. United States, a federal district court accepted the practice of tax affecting the earnings of so-called “pass-through” entities. It also rejected the application of a premium to reflect the tax advantages of owning a minority interest in a pass-through business. This article summarizes this case and explains why it’s fueling renewed interest in the tax-affecting debate, despite its limited precedential value. A sidebar highlights another key issue addressed in Kress — the effect of family transfer restrictions on the value of business interests for gift and estate tax purposes. Kress v. United States, 2019 WL 1352944, U.S. District Court, E.D. Wisconsin, Case No. 16-C-795, March 26, 2019
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Namerow v. PediatriCare Associates – When was that buyout provision last updated?
July / August 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 465
Abstract: The buyout provision of an owners’ agreement must be carefully drafted and regularly reviewed. If it isn’t, the buyout may not be legally enforceable — or serve the owners’ current needs. This article summarizes a recent case where a stale buyout provision came back to haunt a retiring owner. Namerow v. PediatriCare Associates, 2018 N.J. Super Unpub., Docket No. C-273-17, Nov. 29, 2018
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How to value a start-up business
July / August 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 533
Abstract: Start-ups present valuation challenges because they often have limited earnings and cash flow. This article explains how business valuation experts must look to other factors, many of them subjective, to estimate value.
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Quality counts in M&A due diligence – Consider both quantitative and qualitative assessments
July / August 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 643
Abstract: In mergers and acquisitions, the target company’s financial statements provide the numbers to support the selling price. But those quantitative results may not be sustainable. This article explains how quality of earnings (QOE) reports may help buyers, sellers and investors identify trends that may provide value-building opportunities — or threaten a company’s future performance.
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Industry experience is key when valuing professional practices
July / August 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 869
Abstract: In litigation involving professional practices, many courts have recognized the importance of industry-specific valuation experience. This article summarizes a recent partner buyout case that illustrates this point. A sidebar highlights when a key person discount may be appropriate and how it’s quantified. Fredericks Peebles & Morgan, LLP v. Fred Assam, 300 Neb. 670, No. S-16-855, August 3, 2018
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Beyond Georgia-Pacific – How market data can be used to calculate reasonable royalty damages
May / June 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 462
Abstract: In intellectual property infringement cases, business valuation experts often use the Georgia-Pacific model to determine reasonable royalty rates. This article lists the 15 factors that are considered under this model, and describes a market-based alternative that’s gaining momentum. Georgia-Pacific Corp. v. United States Plywood Corp., 318 F.Supp. 1116, S.D.N.Y., 1970 StoneEagle Services, Inc. v. Pay-Plus Solutions, Inc., No. 8:13-cv-2240-T-33MAP, M.D. Fla., 2015
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Valuing distressed companies
May / June 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 575
Abstract: Struggling businesses face different financial challenges than healthy ones do. This article discusses how business valuation experts factor these differences into their estimations when valuing troubled companies.
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Close-up on goodwill in divorce cases
May / June 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 672
Abstract: When divorcing spouses own a private business interest, it complicates the settlement process. In general, the business needs to be valued and then included — either entirely or partially, depending on state law and legal precedent — in the marital estate. For some businesses, goodwill can provide significant value. This article summarizes different ways goodwill may be handled in divorce cases across the United States.
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West Plains, LLC v. Retzlaff Grain Co. – Loss-of-value damages upheld despite survival of business
May / June 2019
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 855
Abstract: In commercial tort claims, courts must decide how much damage the plaintiff suffered from the defendant’s alleged wrongdoing. This article summarizes a recent Eighth U.S. Circuit Court of Appeals case that upheld a jury’s damages award based on lost market value, even though the business wasn’t completely destroyed. A sidebar highlights the benefits of hiring a separate financial expert to conduct a formal appraisal review. West Plains, LLC v. Retzlaff Grain Co., 870 F.3d 774, 8th Cir., August 30, 2017