The interest you hold in your privately-held company may be your most valuable
asset, and the value of your business might be driven more by intangible assets
than tangible assets. Determining the value of that business, business interest
or intangible asset is critical for any number of reasons. But determining value
is not as easy as some would have you believe. There is rarely an established
market for closely held business, business interests, or intangible assets. An
independent, professionally prepared business valuation prepared by a qualified
appraiser is essential.
We use a comprehensive approach to valuing business interests. We perform an
in-depth analysis using relevant market data and accepted valuation techniques
to ensure a credible and defensible business valuation. We monitor statutory
authority, administrative rulings and judicial precedent to ensure the valuation
complies with legal and professional standards.
We work with attorneys, auditors, and business owners and their management teams
on a daily basis assisting them with valuation matters involving:
• Estate and
gift tax planning and reporting
• Income tax
planning and reporting
• Shareholder /
• Purchase /
sale of businesses or business interests
• Stock options
issued as compensation
There are three levels of valuation services. They are as follows:
- An appraisal is the act or process of determining the value of a business,
business ownership interest, security or intangible asset. The objective of an
appraisal is to express an unambiguous opinion as to the value of a business,
business ownership interest, or security, and for which the opinion is supported
by all procedures that the appraiser deems to be relevant to the valuation.
appraisal - The objective of a limited appraisal is to express an estimate
as to the value of a business, business ownership interest, or security. The
development of this estimate excludes some additional procedures that are
required in an appraisal and in order to offer an opinion.
- The objective of a calculation of value is to provide an approximate
indication of value, or range of values, based upon the performance of limited
procedures agreed upon by the appraiser and the client. Since the scope of a
calculation is limited, the resulting calculated values may not be presented as
opinions of value.