Valuation/Lit. sup./Fraud/M&A
Showing 1489–1504 of 1593 results
-
Discounted cash flow basics — A bird in the hand is worth two in the bush
November / December 2008
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 1020
Abstract: Valuators use discounted cash flow (DCF) analysis when applying the income approach, which derives value from anticipated future earnings. A key component of any DCF analysis is the discount rate, which is the rate of return used to convert a future monetary sum into its present value. This article describes the ins and outs of discount rates and how valuators support these rates with market data and credible methodology.
-
No discounts allowed – Court applies standard to shareholder oppression case
November / December 2008
Newsletter: Advocate's Edge / Litigation Support
Price: $225.00, Subscriber Price: $157.50
Word count: 810
Abstract: Discounts for lack of control and marketability generally aren’t applied when valuing interests in the context of a shareholder dissent case. But, in Edler v. Edler, a Wisconsin court recently extended the principle to a shareholder oppression case, and as a result based the plaintiff’s award on the fair value of the corporation. This article summarizes the facts and findings of the case and discusses the implications.
-
Tax Court calculates its own values in FLP case
November / December 2008
Newsletter: Advocate's Edge / Litigation Support
Price: $225.00, Subscriber Price: $157.50
Word count: 1031
Abstract: In recent years, the U.S. Tax Court has heard its share of cases challenging the legitimacy of family limited partnerships (FLPs). In early 2008, though, it was presented with an FLP case in which the IRS merely challenged the taxpayer’s valuation. The court in Astleford v. Commissioner ultimately decided to pick and choose from the opposing experts’ conclusions to calculate its own values. This article explains how the court arrived at its numbers and what it could mean for taxpayers.
-
E-discovery – Structured data calls for specialist attention
November / December 2008
Newsletter: Advocate's Edge / Litigation Support
Price: $225.00, Subscriber Price: $157.50
Word count: 849
Abstract: Some attorneys have learned the hard way that e-discovery often means gathering and analyzing millions of bytes of information. Although much attention has been focused on discovery of “unstructured data” such as e-mail and documents, e-discovery also encompasses “structured data,” a category that includes human resource system and enterprise resource planning data. As this article argues, proper retrieval and handling of structured data differs from that associated with unstructured data sources and usually requires the assistance of a specialist.
-
Ask the Advisor – Q: What do I need to consider when acquiring a business in a regulated industry?
October / November 2008
Newsletter: Merger & Acquisition Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 494
Abstract: When buying a business in a government-regulated industry, companies must think about any regulatory issues early in the transaction, and be prepared to discuss them when they draft their letter of intent. This column advises buyers to look into licensing requirements, consider the best deal structure given the industry’s regulations regarding asset deals, and include in the letter a right to terminate should regulators refuse consent. (Updated 5/7/12)
-
Justifiable risk? The dangers and rewards of cross-border acquisitions
October / November 2008
Newsletter: Merger & Acquisition Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 883
Abstract: International acquisitions can provide companies with many advantages, including a broader customer base, cross-selling opportunities, new distribution channels and improved access to rapidly developing markets. But even as overseas M&As offer these potential rewards, they also present serious risks such as costly cultural misunderstandings, imprecise valuations, and inflation, exchange rate and tax issues that reduce anticipated profits.
-
Destination: M&A success – An integration manager can help get you there
October / November 2008
Newsletter: Merger & Acquisition Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 781
Abstract: Even the most strategically justified transaction can capsize if it’s not well implemented. This makes the postmerger integration phase critical. To help guide them through this tumultuous period, many companies are using internal talent — leaders who already have employee confidence and respect — as integration managers. This article explains the integration manager’s role and the experience and qualities he or she needs to fill it. (Updated 5/7/12)
-
What to do when a buyer backs out
October / November 2008
Newsletter: Merger & Acquisition Focus
Price: $225.00, Subscriber Price: $157.50
Word count: 718
Abstract: M&A transactions can fail to cross the finish line for a variety of reasons. A seller may not be able to substantiate earnings to the buyer’s satisfaction, or the buyer may discover that synergies for long-term value just aren’t there. Whatever the reason for a deal’s demise, a jilted seller can become financially and operationally stranded. It needs, as this article discusses, to act quickly to preserve its future. Sellers must consider negotiating with the buyer or, possibly, litigation, and they need to communicate with their important stakeholders. (Updated 7/31/12)
-
Calculating losses for new or never-launched businesses
Fall 2008
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 460
Abstract: Lost profits are a common form of damages in business litigation, and most damages experts are comfortable calculating them. But establishing lost profits when the plaintiff is a new or never-launched company with little or no historical financial data can prove tricky. Experts might be able to apply industry growth projections to company data or, if company data is sparse, base estimates on models and studies of new-product lifecycles.
-
Failure to obtain valuation undermines fraud claim
Fall 2008
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 352
Abstract: This short article summarizes fraud case Lusins v. Cohen and explains why the decision reinforces the idea that buy-sell agreements must be independently appraised.
-
Methodology matters – When an expert isn’t expert enough
Fall 2008
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 464
Abstract: A Rhode Island court’s decision to exclude expert testimony in a patent infringement case should remind attorneys that their experts’ qualifications aren’t the only potential issue. This article summarizes the decision in Bowling v. Hasbro and talks about why experts must use accepted and appropriate methodologies or risk having their testimony excluded.
-
Court excludes assets from gross estate in family LLC case
Fall 2008
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 860
Abstract: After dealing taxpayers a series of losses in cases involving family limited partnerships (FLPs) and limited liability companies (LLCs), the Tax Court has allowed the assets in a family LLC to be excluded from the decedent’s gross estate. This article discusses how the opinion in Estate of Mirowski v. Commissioner can provide valuable guidance on how taxpayers can use these valuable tools.
-
Information mining – How experts dig through data to find fraud
Fall 2008
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 770
Abstract: From insurance scams to financial statement manipulation to fudged expense reimbursement reports, fraud victimizes businesses of every size and in every industry. Even when owners suspect fraud, however, they may not know how to gather the evidence to confirm it. Forensic accounting experts can help with data mining. This article explains how experts analyze a company’s own records looking for activity that diverges from behaviors typically associated with nonfraudulent transactions. (Updated 8/28/12)
-
For what it’s worth: Valuation in the courts – FLP discounts and the multitiered company
Fall 2008
Newsletter: Valuation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 653
Abstract: In this issue’s “For what it’s worth: Valuation in the courts,” we look at the long contentious issue of family limited partnerships (FLPs). Gifts of FLP interests allow individuals to transfer wealth at often substantial discounts from the FLP’s underlying net asset value. And this recent Tax Court case provides insight into how the court handles discounts for lack of control and marketability — especially when multiple owners are involved. Citations: Astleford v. Commissioner, T.C. Memo 2008-128, May 5, 2008.
-
Personal vs. business goodwill: The appraisal challenges
Fall 2008
Newsletter: Valuation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 788
Abstract: One might associate business appraisals with accounting, yet, in truth, they’re worlds apart. Financial statements, for example, tell only part of the story, and intangible assets present even greater valuation challenges. Items such as patents, customer lists, leases and brand names can be readily identified and valued. But what’s left over — commonly referred to as “goodwill” — may require special treatment. This article compares two distinctive forms of goodwill: personal and business. (Updated 11/14/12)
-
The market approach – An increasingly effective way to value businesses
Fall 2008
Newsletter: Valuation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 1156
Abstract: The market approach is an intuitive way to value a private business interest. It bases the subject company’s price on sales of other similar businesses or business interests, which are commonly referred to as “guideline transactions” or “comparables.” Of course, no two businesses are exactly the same, so identifying a perfect match is impossible. This article examines why and how the market approach works anyway.