A practically-focused resource for business valuation professionals
Financial Valuation: Applications and Models provides authoritative reference and practical guidance on the appropriate, defensible way to prepare and present business valuations. With contributions by 30 top experts in the field, this new fourth edition provides an essential resource for those seeking the most up-to-date guidance, with a strong emphasis on applications and models. Coverage includes state-of-the-art methods for the valuation of closely-held businesses, nonpublic entities, intangible, and other assets, with comprehensive discussion on valuation theory, a consensus view on application, and the tools to make it happen. Packed with examples, checklists, and models to help you navigate your valuation project, this book also provides hundreds of expert “”tips”” and best practices in clear, easy-to-follow language. The companion website provides access to extensive appendix materials, and the perspectives of valuation thought-leaders add critical insight throughout each step of the process.
Valuation is an important part of any organization’s overall financial strategy, and seemingly-small inaccuracies or incomplete assessments can have big repercussions. This book walks you through the valuation process to give you the skills and understanding you need to get it done right.
- Learn best practices from 30 field-leading experts
- Follow clear examples for complex or unfamiliar scenarios
- Access practical tools that streamline the valuation process
- Understand valuation models and real-world applications
The business valuation process can become very complex very quickly, and there’s no substitute for clear guidance and a delineated framework in the run-up to completion. Get organized from the beginning, and be systematic and methodical every step of the way. Financial Valuation: Applications and Models is the all-encompassing, expert guide to business valuation projects..
Table of Contents
CHAPTER 1 Introduction to Financial Valuation 1
CHAPTER 2 Standards of Value 29
CHAPTER 3 Research and Its Presentation 59
CHAPTER 4 Financial Statement and Company Risk Analysis 77
CHAPTER 5 Income Approach 117
CHAPTER 6 Cost of Capital/Rates of Return 185
CHAPTER 7 International Cost of Capital 271
CHAPTER 8 Market Approach 291
CHAPTER 9 Asset Approach 343
CHAPTER 10 Valuation Discounts and Premiums 391
CHAPTER 11 Report Writing 495
CHAPTER 12 Business Valuation Standards 583
CHAPTER 13 Valuation of Pass-Through Entities 607
CHAPTER 14 Estate, Gift, and Income Tax Valuations 681
CHAPTER 15 Valuation of Family Limited Partnerships 725
CHAPTER 16 Summary of Tax Court Case Valuation Issues 779
CHAPTER 17 Shareholder Disputes 783
CHAPTER 18 Employee Stock Ownership Plans 801
CHAPTER 19 Valuation in the Divorce Setting 831
CHAPTER 20 Valuation Issues in Small Businesses 853
CHAPTER 21 Valuation Issues in Professional Practices 867
CHAPTER 22 Reasonable Compensation 889
CHAPTER 23 The Valuator as Expert Witness 911
CHAPTER 24 Fair Value Measurement and the Valuation of Intangible Assets 931
CHAPTER 25 Marketing, Managing, and Making Money in a Valuation Services Group 1007
CHAPTER 26 Business Damages 1009
CHAPTER 27 Other Valuation Service Areas 1043
CHAPTER 28 Valuation of Healthcare Service Businesses 1047
CHAPTER 29 Determination of Compensation in the Healthcare Industry 1089
CHAPTER 30 Special Industry Valuations 1099
CHAPTER 31 Valuation Views and Controversial Issues: An Illustration 1179
Index 1229
