Chris Mercer

FEBRUARY 23, 2024

My conclusion is that the various restricted stock studies are inadequate to meet current business valuation standards and that they should not be used as a basis for “guessing” the magnitude of marketability discounts for illiquid interests of closely held businesses. The interests differ significantly from that point on.

Marketability 52

Marketability Terminal Value Dividends Discounted Cash Flow 52

Chris Mercer

FEBRUARY 14, 2024

If you disagree with this rather strong statement, feel free to comment on this blog with your rationale for such relevance. Company A’s annual dividend for the 10% interest is $100,000, which provides a 10% expected dividend yield based on the MM/FC value of the interest. greater than the comparable interest in Company A.

Marketability 52

Marketability Dividends Appraisal Business Valuation 52

ThomsonReuters

NOVEMBER 11, 2020

Do you have sufficient cash flow from operations to cover your debt obligations? Are you able to pay dividends or payments on lines of credit from suppliers? discounted cash flows, loss rate, roll rate, or probability of default). Do you have a shortage of working capital?

Discounted Cash Flow 52

Discounted Cash Flow Technology Dividends Market Capitalization 52

Chris Mercer

SEPTEMBER 2, 2022

I have discussed these changes and additions in numerous speeches and publications, including on this blog. the expectations for dividends or distributions to the illiquid minority interest over the expected holding periods of illiquid minority interests. The Quantitative Marketability Discount Model (QMDM) is one of them.

Appraisal 52

Appraisal Intangible Assets Discounted Cash Flow Dividends 52

Chris Mercer

MARCH 8, 2023

The dividend-paying capacity. I have addressed this issue in several books and numerous articles and blog posts since then. Nevertheless, many appraisers and several business valuation authors still seem to want to hang on to this non-existent discount of convenience. The earning capacity of the company.

Fair Market Value 52

Fair Market Value Marketability Appraisal Business Valuation 52

Equilest

MARCH 17, 2022

Strictly speaking, the result to be taken into account should be the free cash flow generated by the company, i.e. the cash flow actually available to a buyer to repay acquisition debt, through the distribution of dividends: this is the DCF method (for Discounted Cash-Flows), which is detailed below.

Business Valuation 40

Business Valuation EBIT EBITDA Discounted Cash Flow 40