Adding a Valuation Expert to Your M&A Strategy By: James Horkey Global merger and acquisition (M&A) activity is expected to exceed $4 trillion in 2025, driven by factors like interest rate cuts from the Federal Reserve, promises of reduced regulations, and […]
Uncover the True Worth of Your Manufacturing Business By: James Horkey Many manufacturing business owners have a rough estimate of their company’s value. However, a professional valuation is essential if you’re considering selling your business, applying for a loan, seeking financing, […]
Do Marketability Discounts Apply to Controlling Business Interests? By: James Horkey Marketability discounts commonly apply when valuing minority interests in closely held businesses, but many valuation experts believe they may also apply to controlling business interests. These discounts reflect the uncertainty […]
Valuing a business for a dissenting or oppressed shareholder case By: James Horkey Shareholders who own a minority interest in a business may not always agree with key decisions made by controlling shareholders. For instance, a minority shareholder might object to a stock-for-stock […]
Do You Need a Buy-Sell Agreement? By: David M. Reape Are you buying a business that will have one or more co-owners? Or do you already own one fitting that description? If so, consider installing a buy-sell agreement. A well-drafted […]
Business Valuation Effect on Estate Planning By: James Horkey Summer is a great time for business owners to review their estate plans. Maybe your kids are home for summer break, so they’re top of mind. Or perhaps you’re vacationing […]
Consider Alternative Indicators of Business Value By: James Horkey When valuing a business, experts often look beyond the company’s financial statements. Management interviews and document requests may provide additional objective insight into how much the owners believe the business […]
Using Business Valuation Pros for Fairness Opinions By: James Horkey Uncertainty about inflation, regulations and geopolitical risks abounds in today’s marketplace. A fairness opinion can protect against costly litigation if your company engages in a major transaction and the projected […]
Levels of Value: Why it Matters in a Business Valuation By: James Horkey A business may have more than one value, depending on the purpose of the business valuation and the characteristics of the ownership interest. Before an expert starts working on a […]
No Question: Management Interviews Are a Critical Part of the Business Valuation Process By: James Horkey When preparing a business valuation, quantitative data — from tax returns, financial statements, contracts and other sources — is important. But there’s more to a company than numbers. Qualitative factors […]
IRS Provides Roadmap on How to Value a Private Business By: James Horkey Revenue Ruling 59-60 is a landmark piece of IRS guidance that outlines the factors to consider when estimating the fair market value of a private business. Here’s an overview of […]
3 Approaches to Valuing a Businesss By: James Horkey Valuing a private business is a complex endeavor. But, when all is said and done, valuation analyses boil down to three general approaches. 1. Market Approach Under this approach, valuators […]