At a loss for the definition of a BV term?
BVWire received many comments about definitions after our recent articles on personal goodwill and control premia. If you’re ever at a loss, remember BVR’s Glossary of Business Valuation Terms – 2010 Edition, available as a free service here.
Finding comparable public companies just got faster and easier
The guideline public company method takes time—sorting companies from Yahoo! Finance or other sources, building spreadsheet templates that need to be adjusted and quality checked, and studying each comparable to make sure they match your target company. BVR recognizes that appraisers need to save time on this approach to keep their engagements profitable, so we’ve [...]
FASB/IASB may now require sensitivity analysis
In their meeting last Wednesday (Mar. 24), the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB) announced it will consider a requirement to provide sensitivity analysis about Level 3 fair value measurements at a future meeting. The IASB outlines their current position on sensitivity analyses here. As Josh Cashman (Intrinsic Valuation) wrote [...]
Three new medical cases show why matrimonial valuations are so difficult
If you’re ever having the feeling that you should stop doing evaluations for family law clients, don’t read this post; it confirms the worst you’ve thought. It even includes a case where the doctor thought his opinion was more valuable than the appraisers. In Garcia v. Garcia (Fla. App., Jan. 20, 2010), the husband’s expert [...]
Your draft reports may no longer be discoverable by opposing lawyers
A year ago, BVWire™ reported on proposed changes to Rule 26 of the Federal rules of Civil Procedure that would apply the work-product protections of Rule 26(3)(A) and (B) to drafts of expert reports and expert-attorney communications. Exceptions would permit discovery of communications regarding expert compensation and the facts, data, and assumptions on which the [...]
Hanging out at Rotary Clubs isn’t all it used to be…
Here’s another great commentary on building your business valuation (or professional service firm) practice from our friend Gale Crosley. She challenges all appraisers to “move beyond lawyer breakfasts and banker lunches” to enter the “ecosystem” of prospects who are capable and ready to hire you.
RJ Dragon compares Butler Pinkerton Calculator debate to “thrilla in Manila”
We’ll all have to wear boxing equipment to the next ASA meeting! Click here to read RJ’s blog.
New WMA content added to BVResearch
We’ve just added new content from Willamette Management Associates to BVResearch. The latest titles include: Financially Troubled Company Purchase/Sale Transaction Structure Issues by Scott Cobb and Nguyen “Wen” Ho Financial Adviser Procedures Related to Bankruptcy-related Solvency Opinions by Katherine Gilbert Debt is the New Equity: How Private Equity Funds Will Sponsor Buyouts Through Chapter 11 [...]
North Carolina court validates IP valuation methods
A new statutory buy-out case demonstrates “the extreme difficulty” in valuing an early-stage company with no other assets than untested technology. One of the key problems: how to protect majority shareholders from reaping a windfall if the patented portfolios prove to be highly valuable without requiring them to overpay should the market fail to adopt [...]
Litvak, Kennedy, and Mathieu have JofA article this month on valuing post-acquisition damages
Congrats to Jeff Litvak, Ken Mathieu, and Bill Kennedy on their article in this month’s Journal of Accountancy. They look at the types of issues that arise from claims that sellers failed to disclose material issues prior to a transaction. Typical of their analysis, they ask: what if a significant customer was lost just before [...]
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