Business Valuation Services |
A BUSINESS VALUATION engagement involves arriving at an opinion regarding the estimated worth of an ownership interest in a business entity as of a given point in time. The ownership interest appraised may be the company’s common equity (excludes any debt) or its total capital (including debt and equity).
How Do We Conduct A Business Valuation?
In 1959 the Internal Revenue Service issued Revenue Ruling 59-60. This ruling outlined the basic steps of a BUSINESS VALUATION engagement. When conducting a BUSINESS VALUATION we obtain an understanding of:
• The Nature of the Business (historical, current and future potential)
• The Industry’s Economic Outlook;
• The Book Value and Financial Condition of the business;
• The Earnings Capacity of the business;
• The Dividend Paying Capacity of the business;
• The value of Goodwill and Intangible Assets;
• The Block of Stock to be valued; and
• The Market Price of other companies in the industry.
We will also conduct an analysis of National and Local Economies, Market Expectations and Business Conditions.
Our general work concept is similar to the one that we use when conducting financial statement audits. We plan our field work, execute the field work, and report on the results of our work.
• Planning entails discussing the nature of and reason for the engagement, evaluating the engagement, identifying documents and other information needed, developing an appropriate work approach, and estimating the fee.
• Field Work includes gathering the data, evaluating the data, determining the valuation approaches and methods to be used, making adjustments appropriate for the valuation methods used, and performing the valuation.
• Reporting includes reviewing and evaluating the results derived from the valuation methods performed, determining whether any discounts or premiums should be applied, and preparing the valuation report.
Why Do You Need a Business Valuation?
Our clients ask us to conduct valuations for a wide variety of reasons:
 | Tax Valuations |
•Estate Planning
• Estate Taxes
• Gift Taxes
• Federal and State income Taxes
• Conversion from C- to S-Corp Status
| Mergers & Acquisitions |
• Transaction Planning
• Buy-Sell Agreements
• Financing Studies
• Secured Lending • Advisory Services | Litigation Support |
• Breach of Contract
• Breach of Fiduciary Duty
• Quantitative Research
• Analytical Support
• Opposition Analysis
• Settlement Analysis
• Marital Dissolution
| Management Requirements |
• Business Plans
• Strategic & Market Analysis
• Forecasting
• Feasibility Analysis
Who to Contact For More Information.
If you would like more information regarding the BUSINESS VALUATION services offered by Allen & Baxter (APAC), please contact J. Paul Baxter at (504) 833-1977, or 1 (800) 882-7293 or email pbaxter@allenbaxter.com