Valuation/Lit. sup./Fraud/M&A
Showing 1169–1184 of 1569 results
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What’s a business worth? It depends
May / June 2011
Newsletter: Valuation & Litigation Briefing / Litigation & Valuation Report
Price: $225.00, Subscriber Price: $157.50
Word count: 1045
Abstract: In a litigation context, the same business interest may have different values depending on the nature of the case, applicable law and other variables. This article looks at some factors to consider when determining value, such as identifying the subject ownership interest and determining the valuation standard and the premise of value. A sidebar discusses “level of value,” which refers to the level of control an owner has over the business as well as the level of marketability of the interest.
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Owners’ compensation: Too much, too little, or just right?
May / June 2011
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 612
Abstract: The question of owners’ compensation is frequently debated in shareholder disputes, divorces and IRS inquiries. Owners’ compensation can vary significantly from company to company depending on whether owners take too much — or draw minimal salaries because they undervalue their contributions or because the business is cash poor. This article explains how a valuator can help a company estimate a range of reasonable replacement compensation that eliminates “owner bias” and adjusts income to a level that reflects economic reality based on objective market data.
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Why “double dipping” may become an issue
May / June 2011
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 939
Abstract: A business is often the most significant asset in a marriage. When a marriage ends in divorce, it can also become the most contentious. The term “double dipping” refers to a situation in which a spouse receives double payment for a single asset. Double dipping can become a controversial issue in marital dissolution cases requiring business valuations — depending on the state. This article mentions decisions in recent cases where the issue of double dipping has arisen. The article also notes that, to achieve fair outcomes, state courts consider the unique facts and circumstances of each case along with state statutes and case law in the jurisdiction in which the divorce is being decided. Citations: In re Marriage of Blazer, No. HO31574, Cal. App., Aug. 25, 2009. In re Marriage of White, 192 Cal.App.3d 1022 [237 Cal. Rptr. 764]. Sander v. Sander, (AC26291), Conn. Super, June 20, 2006. Steneken…
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Economic damages 101
May / June 2011
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 662
Abstract: Business disputes often result in one party losing money. It’s up to the legal system to award economic damages. This article discusses some approaches to quantifying economic damages, including the before-and-after method and the sales projection method. The article also notes potential pitfalls and contentious issues that may arise. The article points out that estimating lost profits is a natural extension of a valuator’s skill set.
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Valuators help tackle newly reinstated estate tax
May / June 2011
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 724
Abstract: Succession and estate planning is a chore that business owners tend to put off. In light of the new tax laws and potential tax savings opportunities, it’s important to forge ahead with estate planning. This article briefly explains the exemption and rate changes mandated by the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010, and shows how these changes affect succession planning. A sidebar explains the status of family limited partnerships (FLPs) and grantor retained annuity trusts (GRATs) under the act.
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Romano v. Steelcase – How “private” are social network posts?
May / June 2011
Newsletter: Advocate's Edge / Litigation Support
Price: $225.00, Subscriber Price: $157.50
Word count: 517
Abstract: Social networking sites such as Facebook and MySpace have become a rich source of evidence for attorneys. This article discusses one case in which a woman’s public Facebook and MySpace pages suggested that her disability claim might be fraudulent. The employer sought access to her private pages, which they believed might strengthen their case. The court addressed the plaintiff’s claims of an expectation of privacy.
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Valuation relief for IP headaches
May / June 2011
Newsletter: Advocate's Edge / Litigation Support
Price: $225.00, Subscriber Price: $157.50
Word count: 705
Abstract: Intellectual property (IP) is a significant source of value for many companies these days, but it can be a pain to appraise. In fact, the three most commonly applied valuation methods — market, income and cost — aren’t always effective when valuing IP. In many cases, professional valuators turn to the relief from royalty (RFR) method for these tricky assets. This article explains why the RFR method can be effective.
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Expert’s lost-profits opinion hits the nail on the head
May / June 2011
Newsletter: Advocate's Edge / Litigation Support
Price: $225.00, Subscriber Price: $157.50
Word count: 683
Abstract: Establishing lost-profits damages can prove difficult — especially when a case involves a new business in a volatile industry. But a recent breach of contract and fraud case suggests that solid testimony from a qualified financial expert can help attorneys make their case. This article discusses the case, in which a restaurant owner claimed lost profits due to the developer’s failure to provide promised valet parking services. The defendant disagreed with the amount of damages that were awarded, so the appeals court studied the methodology used by the plaintiff.
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Stop purchasing fraud in its tracks
May / June 2011
Newsletter: Advocate's Edge / Litigation Support
Price: $225.00, Subscriber Price: $157.50
Word count: 857
Abstract: Purchasing fraud is one of the most prevalent forms of occupational theft. The temptation to steal can be strong for employees with financial troubles and access to their company’s accounts. This article describes common forms of purchasing fraud, and explains how companies can detect possible fraud, and the methods that forensic accountants use to investigate possible schemes. A sidebar summarizes the findings of an Association of Certified Fraud Examiners’ survey on fraud perpetrators.
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Ask the Advisor – Q. How can my HR department help facilitate a merger?
April / May 2011
Newsletter: Merger & Acquisition Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 397
Abstract: For both buyers and sellers, the HR department can play a vital role in the M&A process. Poor communication between sellers and buyers, as well as within each organization, can slow down or even derail a merger. Enlisting HR’s help during almost every stage of the transaction ensures that accurate and timely information will reach critical stakeholders.
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Lean, mean, competitive machine – Spinoffs can fast-track your acquisition’s future
April / May 2011
Newsletter: Merger & Acquisition Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 681
Abstract: A business buyer may be satisfied with the acquisition price it paid and that business’s growth prospects. But a strategic divestiture or spinoff could further enhance the acquisition’s value. Spinoffs can help raise cash, eliminate underperforming segments, streamline operations and focus management’s attention on more profitable parts of the company. This article discusses the benefits of spinoffs and how to evaluate potential spinoff candidates.
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When a debt purchase is your best — or only — option
April / May 2011
Newsletter: Merger & Acquisition Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 645
Abstract: Financial institutions wanting to remove distressed loans from their balance sheet may sell the debt to corporate buyers. Buyers, in turn, can use such purchases to gain majority control of distressed businesses — essentially making “backdoor” acquisitions. This article describes the process and tells buyers what they must do to make a debt purchase work.
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Don’t let the economic chill freeze your M&A deal
April / May 2011
Newsletter: Merger & Acquisition Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 776
Abstract: Although the frozen economy appears to be thawing, a full recovery probably is still a long way off. Owners hoping to sell their companies in 2011 need to work to keep proposed M&A deals on track. This article explains how they can boost their appeal for potential buyers and ensure that a proposed deal remains on track and actually crosses the finish line. It looks at how to identify potential buyers and avoid getting bogged down during negotiations. A sidebar lists last-minute issues that need to be addressed.
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ACFE report identifies a variety of red flags
Spring 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 444
Abstract: The Association of Certified Fraud Examiners (ACFE) releases its Report to the Nations on Occupational Fraud and Abuse every other year, and the results are never pretty. For example, in the 2010 version, survey participants estimated that the typical business worldwide loses 5% of its annual revenues to occupational fraud. Fortunately, the report also identifies a variety of red flags to look out for. This article discusses red flags that are common according to a perpetrator’s position and the type of scheme.
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On the line – Telecom case turns on subsequent sale data
Spring 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 631
Abstract: The validity of any business appraisal report depends largely on its use of relevant data before and after the valuation date. The case of Ringgold Telephone Co. v. Commissioner hung on one particular subset of relevant data: a subsequent sale of business assets. This article examines the Tax Court’s decision, which holds some important lessons. Ringgold Telephone Co. v. Commissioner, T.C. Memo 2010-103, May 10, 2010.
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Employee stock options present valuation challenges
Spring 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 672
Abstract: Recently, the recession and its aftermath have caused many businesses to think twice about employee stock options (ESOs). Yet they haven’t fallen out of favor entirely. But, for companies still offering ESOs, it’s more important than ever to get them properly valued. And appraisers face distinctive challenges in doing so. This article lists six basic inputs they use, along with a couple of different models for valuation.