KNOWING THE TRUE VALUE OF YOUR BUSINESS IS FOUNDATIONAL TO GOOD DECISION MAKING.

Business Valuation

Knowing the value of your business is an essential part of doing business. There is no active market to establish the value of closely held businesses. However, many owners of closely held businesses have the need to determine the value of their interest. Business valuations of closely held businesses are performed for many purposes including tax, litigation or transactional purposes.

WHEN DO YOU NEED A BUSINESS VALUATION?

The need to value a closely held interest for tax purposes arises when valuing the interest held by a decedent in his or her estate, valuing a gift of a closely held business interest, valuing closely held stock transferred to an employee in connection with a stock bonus plan or stock option plan, valuing the allocation of tangible and intangible assets in connection with a sale, valuing the built-in gain when electing to convert to an S Corporation, etc.

Litigation may arise in the event of disputes between business owners, bankruptcies, divorce, dissenting shareholder cases, shareholder oppression, breach of contracts, lost profits, etc. When a transaction involving closely held stock is contemplated, the buyer or the seller will generally seek the opinion of a valuation expert to assist them with valuing the sale or purchase of a closely held business.

Some business owners engage business valuation professionals to track the value of their businesses and provide them with strategic objectives to enhance the value of their business. These entrepreneurs have a clear growth strategy, they use valuation professionals to help them identify their value drivers, they eliminate barriers that erode value, and they use valuation professionals to monitor value and help them increase the value of their company.

WHAT TO LOOK FOR IN A BUSINESS VALUATION EXPERT

It is important that you choose a qualified and experienced business valuator to assist you with your valuation needs. To become certified as business valuators, business valuators complete extensive training, testing, and critiquing of their work. But that is just the start; you need to choose a business valuation firm that has extensive experience and references that will attest to their experience and ability to complete your assignment.

The valuation process must adhere to valuation standards prescribed by nationally recognized valuation organizations. The valuator must consider the asset, income and market approaches and apply generally accepted valuation principals and methodologies in arriving at their valuation conclusion. It is imperative that the valuator gains a thorough understanding of the owner’s industry and the internal and external economic factors affecting the success or failure of the entrepreneur.

Value Defined is comprised of qualified experienced business valuators. We have been selected to perform hundreds of valuations for numerous reasons. The more difficult the project or when the stakes get higher, Value Defined is the firm chosen by more attorneys and CPAs than any other regional or Northwest Ohio valuation firm. We have performed numerous valuations for tax purposes and numerous successful IRS audits. We have successfully testified in federal, state, and county courts regarding numerous valuation matters. We have also assisted numerous business owners with the sale of their company or the purchase/merger of businesses.

With nationally recognized valuators on staff active in the valuation industry, national and international instructor, curriculum development and review, and formerly serving on the standards committee, and ethics and oversight board, our firm stays abreast of the latest developments in the valuation community. Value Defined is devoted to maintaining all of the resources needed to perform business valuation services including numerous transactional databases, an extensive library, continuing education for all of our valuation staff, strict adherence to recertification requirements, and most of all, thousands of hours annually providing business valuation services nationally, regionally and locally.

WORKING WITH VALUE DEFINED

When you work with Value Defined, you’ll: get timely, personal attention, precise and thorough research specific to your valuation; and dedicated partner-level involvement; utilize our diverse experience in a variety of industries and professions; draw upon our professional relationships and numerous memberships; apply today’s technology to obtain current market data; keep abreast of current court decisions; and get over 50 years of experience in accounting and business valuation work.

Our valuations skills have been successfully utilized for areas of interest that commonly require valuation:

Tax

  • Estate tax
  • Gift tax
  • Purchase price allocations
  • IRS audits
  • Cost segregation
  • Charitable contributions
  • Tax court

Transactional

  • Assistance to Numerous Business Owners with the Sale of Their Company or the Purchase/Merger of a Business
  • Succession planning
  • Value growth monitoring
  • Quality of earnings analysis/due diligence assistance
  • Fairness Opinions
  • Buy-Sell Agreements
  • Warrants, stock options, etc.
  • Succession/Exit planning
  • Employee Stock Ownership Plans (ESOP)
  • Financing (SBA/Bank/Capital)
  • IPO’s
  • Bankruptcies & Reorganizations
  • Value enhancement/on-going valuations

Litigation

  • Expert Testimony in Federal, State, and County Courts
  • Economic damage claims
  • Divorce settlements
  • Post-Transaction disputes
  • Shareholder disputes
  • Breach of contract
  • Patent infringement
  • Business interruption
  • Wrongful deaths
  • Wrongful terminations
  • Sexual harassment
  • Personal injury
  • Libel
  • Criminal cases (Ponzi scheme, arson, theft)
  • Eminent domain
  • Pipeline easements

Forensic Accounting

  • Investigation
  • Evidence
  • Expert testimony