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

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.

Marketability 52

Marketability Terminal Value Dividends Discounted Cash Flow 52

BV Specialists

JANUARY 3, 2022

Business owners likely have particular ideas about the value of their company and how best to calculate it, given their experience and knowledge of their financial history, and understanding of the market and industry in which they operate. Market Approach. >The Asset Approach.

Appraisal 52

Appraisal Liquidation Value Net Present Value Intangible Assets 52

Chris Mercer

MARCH 7, 2024

The second and third musings address the issue of marketability discounts and conclude that it is not possible to comply with any valuation standards, whether USPAP or not, using only averages of restricted stock studies as a basis for “guessing” marketability discounts. The relevant pool of potential buyers, if any.

Dividends 52

Dividends Appraisal Terminal Value Marketability 52

Valutico

MAY 6, 2024

Different methods are used, like looking at market prices, predicting future profits, and evaluating assets. Some techniques include comparing companies in the market, estimating future cash flows, and assessing the value of tangible assets. to its market value.

Discounted Cash Flow 52

Discounted Cash Flow Precedent Transaction Analysis Weighted Average Cost of Capital Comparable Company Analysis 52

Equilest

AUGUST 6, 2023

Key Concepts to Know: Before diving into the valuation techniques, it's important to understand concepts like the time value of money, risk and return trade-off, and the significance of growth rates. Various Approaches to Valuation: Valuation can be approached through three main methods - market-based, asset-based, and income-based valuation.

Discounted Cash Flow 40

Discounted Cash Flow Business Valuation Precedent Transaction Analysis Comparable Company Analysis 40