Make no mistake about it: Analyzing and understanding the subject company’s financial statements is paramount when opining on value. However, when you start “peeling the onion,” other factors play an important role. ...
Category: Financial Advisory
Picture as you may, a matter that requires testimony regarding the fair market value of a closely held business. Like most cases of this instance, the matter will be highly contentious. I am not writing about either...
Many law firms and their clients have applied for the available federal and local loan and grant programs. Despite the promise for quick financial assistance, many businesses (including law firms) still face financial...
Our firm was recently retained to determine the fair value of a minority interest in a business for a shareholder dispute. Despite it being a sizable business, the owners never got around to memorializing the termination...
A number of years ago I went on a short vacation to Ottawa, Canada. Between the hotel and the town center was what we New Yorker’s call a coffee shop or diner. The storefront was brightly lit, clean, and had a menu the...
A business is considered solvent when it is able to meet its long-term obligations. In determining same both the federal Bankruptcy Code and the Uniform Fraudulent Transfer Act look at the fair value of a debtor’s...
The Income Approach Simplified. DCF v. Capitalization of Earnings Methods
Category
Business Valuation
Recently, while testifying to the fair market value of a closely-held business, the attorney began off-scrip and asked, “Mr. Gottlieb, what is valuation?” He didn’t ask me to explain the genesis of the fair market value...
How Will Fair Value Valuations For Financial Reporting Be Affected By The TCJA
Category
Business Valuation
The upcoming audit season will bring some new challenges for auditors testing of fair value measurements for financial reporting. Some recent changes due to the Tax Cut and Jobs Act of 2018 (“TCJA”) will create...
It seems like a lifetime ago that I sat down at my desk with a pile of folders ready to attack “tax season”. Perhaps it was. It’s been almost 30 years since I moved to be “exclusive” with business...
When planning to merge with or acquire another company, a business owner needs to identify what’s actually being sold and estimate what those assets are really worth. Often the most valuable assets — such as...