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

Chris Mercer

MARCH 7, 2024

Procedural Guidelines (PG) are designed to provide more detailed guidance for consideration by business appraisers than found in the base standards themselves. Items on the list may or may not be applicable in specific valuation situations. The value of the underlying enterprise or asset, if applicable.

Dividends 52

Dividends Appraisal Terminal Value Marketability 52

Appraisal Rights

APRIL 9, 2019

Business divorce can arise in any privately owned business, often without warning. These can be divisive, long-lasting and expensive—straining both stakeholders and the business. The business valuator must carefully scrutinize the characteristics in the interest being valued to determine stakeholder equity.

Business Valuation 40

Business Valuation Dividends Fair Market Value Equity 40

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. ”: II.

Marketability 52

Marketability Terminal Value Dividends Discounted Cash Flow 52

Chris Mercer

APRIL 7, 2023

My most recent post, titled Fair Market Value and the Nonexistent Marketability Discount , generated quite a discussion when posted on LinkedIn. The post provided a solid rationale that there is no such thing as a marketability discount for controlling interests of companies. ” (emphasis in original) (pp.

Marketability 52

Marketability Fair Market Value Appraisal EBITDA 52