Blog Posts in 2019
Posted on Dec 1, 2019 By Davis Blaine
The headline reflects the most common corporate conversion, C to S. At the same time, the prevailing tax consequences may also apply to C conversions to LLCs and S corporations buying assets from a C ...
Continue reading "CONVERSION OF C TO S CORPORATION" »
Posted on Nov 1, 2019 By Davis Blaine
What is the definition of fair? It is an amorphous term, and subject to the perspective of each person. Thus, I contend that a Fairness Opinion is better termed a Reasonableness Opinion. The Fairness ...
Continue reading "FAIRNESS OPINION: IS IT FAIR?" »
Posted on Oct 1, 2019 By Davis Blaine
The range (type) of valuation and appraisal services for non-profit entities is similar to those provided the For Profit sector. Depending upon the specific requirements, businesses and business ...
Continue reading "VALUATION SERVICES FOR NON-PROFIT INSTITUTIONS" »
Posted on Sep 1, 2019 By Davis Blaine
Royalty analyses are usually required for at least the following situations: As part of an overall valuation of an intellectual asset or IP. As part of a licensing agreement whereby the licensor ...
Continue reading "ROYALTY ANALYSIS" »
Posted on Aug 1, 2019 By Davis Blaine
The latest IRS regulations were promulgated on July 30, 2018. These included detailed definitions of a qualified appraisal and a qualified appraiser. The appraisal must support the value of a stock or ...
Continue reading "CHARITABLE CONTRIBUTIONS" »
Posted on Jul 24, 2019 By James A. Lisi
As a relatively young profession, we are just beginning a transition beyond our original business valuation pioneers. These leaders shaped a plethora of theories and court precedents into a vocation. ...
Continue reading "Business Valuation Terms Need Restructuring Based on Value Drivers" »
Posted on Jul 1, 2019 By Davis Blaine
Probably not. Most often, the client only looks at the page(s) concluding the value. Our process for conducting an appraisal, valuation or cost segregation analysis is specifically designed to fully ...
Continue reading "DO CLIENTS KNOW WHAT'S IN A REPORT?" »
Posted on Jun 1, 2019 By Davis Blaine
Why, you ask, aren't all valuations for the same business or asset alike? How can they differ s much? There are reasons for divergence of opinion. And they usually involve one valuator being an ...
Continue reading "NOT ALL VALUATIONS ARE ALIKE" »
Posted on May 1, 2019 By Davis Blaine
For startups and pre-revenue companies, the most accepted means to estimate business enterprise value is known as the back-solve method. This approach satisfies the IRS requirement for valuing common ...
Continue reading "STOCK OPTIONS BACK-SOLVE METHOD" »
Posted on Apr 1, 2019 By Davis Blaine
Recently, the Fifth Circuit Court decision in Mansour v. Youtoo Media provided a clearer roadmap for compliance with the "reasonably certain" rule. Heretofore, many courts have rejected the ...
Continue reading "VALUATION EXPERTISE IN LITIGATION" »
Posted on Apr 1, 2019 By Davis Blaine
Buoyed by a pulsating economy, The Mentor Group experienced strong year over year growth in revenue for nearly all service components. Some highlights follow: Valuation of partner carried interests ...
Continue reading "Q1 TMG News" »
Posted on Mar 1, 2019 By Davis Blaine
Each Private Equity (PE) firm is unique in the following ways: How they construct and raise funds, manage that capital, and make investments, usually in going business concerns. Their criteria for ...
Continue reading "PRIVATE EQUITY" »
Posted on Feb 1, 2019 By Davis Blaine
We have encountered more situations where clients who have sold a business or assets have claimed a portion of the purchase price as personal goodwill. The tax savings for the individual assigned the ...
Continue reading "Personal Goodwill" »
Posted on Jan 1, 2019 By Davis Blaine
The internal rate of return (IRR) is a capital budgeting metric. IRR measures the profitability of potential investments. As used, the IRR makes the net present value of cash flows for a particular ...
Continue reading "Internal Rate of Return - IRR" »