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

BV Specialists

JANUARY 3, 2022

Under the “Discounted Future Earnings” approach, the appraiser will estimate value primarily from future income probability, or forecasts, over a fixed period of time, to a terminal value, and discount this back to the present. Market Approach. >The

Appraisal 52

Appraisal Liquidation Value Net Present Value Intangible Assets 52

Chris Mercer

FEBRUARY 23, 2024

The Value of an Interest in a Business The value of an interest in a business is similarly defined by the expected cash flow to the interest , the expected growth in value of the interest over the expected holding period, and the expected terminal value of the interest at the end of the expected holding period.

Marketability 52

Marketability Terminal Value Dividends Discounted Cash Flow 52

Chris Mercer

MARCH 7, 2024

Simply put, the expectation of dividends or distributions from investments in partial ownership interests is important to investors, whether hypothetical in the context of fair market value determinations, or real investors who put real money at risk. Paragraph 8 above, with its sub-paragraphs a.

Dividends 52

Dividends Appraisal Terminal Value Business Valuation 52

Equilest

AUGUST 6, 2023

Liquidation Value: This method assesses the value of the company's assets if they were to be sold off in a liquidation scenario. Adjusted Net Asset Value: Adjusted Net Asset Value considers the fair market value of assets and liabilities, providing a more realistic estimate of the company's value.

Discounted Cash Flow 40

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

Valutico

MAY 6, 2024

Valuation in M&A refers to the process of determining the fair market value of a company being merged or acquired for guiding financial decisions and negotiation strategies in the transaction. The terminal value can be estimated using the perpetuity growth model or the exit multiple approach.

Discounted Cash Flow 52

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