To its owner, a business interest’s value is more than just a number. It represents years of hard work, sacrifice, and investment. Owners often believe they have a clear understanding
The multi-attribute utility model (MUM) provides a systematic technique for making complex decisions. Breaking down goodwill in divorce cases is one innovative way business valuation experts may use this framework.
To determine how much a business is worth, a valuation professional first must develop a comprehensive understanding of how it runs. Financial statements and tax returns tell only part of
In 2025, global merger and acquisition (M&A) volume is expected to surpass $4 trillion, the highest in four years, according to Reuters. Reasons for the anticipated surge include recent interest
Before contacting a business valuation professional, ask yourself the following five questions to help streamline the valuation process and avoid unnecessary confusion down the road: 1. Who’s Hiring The Valuator?
When applying the discounted cash flow (DCF) method to value a private business interest, business valuation experts often rely on prospective financial statements. However, when management prepares financial projections for
There are three commonly accepted techniques for valuing a closely held business: the cost (or asset-based) approach, the market approach, and the income approach. Valuation professionals typically consider all three
This year, Giving Tuesday, which is a global event that promotes charitable giving and awareness for philanthropic causes, falls on December 3. While many people donate cash or volunteer for
In today’s global economy, an established organization may consider expanding its revenue base by acquiring or merging with an organization in an emerging market. These markets — for example, in
Discounts for lack of marketability are well established when valuing minority interests in closely held businesses. However, many valuation experts believe that controlling business interests also warrant a marketability discount
