Chris Mercer

MARCH 8, 2023

This post provides a discussion of several implications of the definition of the standard of value known as fair market value. We focus first on the definition of fair market value. We then look at the implications for the so-called “marketability discount for controlling interests.”

Fair Market Value 52

Fair Market Value Marketability Appraisal Business Valuation 52

Appraisal Rights

JULY 18, 2019

In prior posts, we have explained various valuation concepts, including the discounted cash flow (DCF) and comparable company analyses. In this post, we examine how those concepts can be applied for tax purposes. Commissioner , No. 16853-08, 2011 Tax Ct. Memo LEXIS 150 (T.C.

Discounted Cash Flow 52

Discounted Cash Flow Fair Market Value Comparable Company Analysis Treasury 52

Sun Acquisitions

OCTOBER 13, 2023

Income-Based Valuation The income-based valuation method focuses on the target company’s ability to generate future cash flows and assesses the present value of these cash flows. Discounted Cash Flow (DCF) analysis is a commonly used income-based valuation technique.

Discounted Cash Flow 59

Discounted Cash Flow Book Value Liquidation Value Price to Book 59

Shuster & Co.

DECEMBER 15, 2021

The value is based on the net cash that would be generated from the sale of assets. Generally, this approach results in a lower value than other approaches, including the fair market value method. Discounted Cash Flow (DCF)/Income Valuation.

Discounted Cash Flow 52

Discounted Cash Flow Book Value Liquidation Value Weighted Average Cost of Capital 52

Farrel Fritz

AUGUST 14, 2023

The authors of this blog have a special affinity for fair value appraisal proceedings. With that appetite in mind, I’m delighted to blog about a recent decision from New York County Commercial Division Justice Jennifer Schecter , Rosenthal v Erber , No. 650771/2021 (Sup Ct, NY County 2023).

Appraisal 52

Appraisal Fair Market Value Excess Earnings Method Discounted Cash Flow 52

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. These discounts, some will say, are very low.

Marketability 52

Marketability Terminal Value Dividends Discounted Cash Flow 52

Value Scope

JANUARY 13, 2021

This will determine the Standard of Value; there are more than one. The Standard of Value. Fair market value,” is mostly used for tax purposes, but it is really the primary and most customary Standard in the USA. Fair Value” is the US GAAP application standard. Basins/Access to Markets.

Fair Market Value 130

Fair Market Value Discounted Cash Flow Treasury Marketability 130