Services

Business
Appraisal

Business Appraisals are a wise investment, and in fact are legally compulsory, in many legal and tax-oriented situations.  Asset based taxes, such as the federal estate and gift tax, require an opinion of value.  Trustees are frequently required to obtain independent valuation opinions as well, such as trustees of Employee Stock Ownership Plans (ESOP).  In family law situations, appraisals of family businesses, which are classified as marital property, are not generally compulsory.  However, a court is far more likely to give weight to expert testimony, as opposed to a conjectured opinion from the litigants involved.  I have personally seen taxation savings of nearly $500,000, subsequent to the procurement of a $3,000 appraisal, so do not be penny-wise and pound-foolish.  I have been an accredited senior appraiser (ASA) in the business valuation discipline since 2007.  

Business Appraisal Review

Because of allegations pertaining to compromised appraisal techniques, laws and regulations have been passed compelling the procurement of opinions concerning appraisal results.  When dealing in matters in which a contentious business value can result in a substantial enrichment of one party over another, an appraisal review may prove to be a cost efficient method of gauging the propriety of an appraisal's methodology.   I have been credentialed in the formally established techniques of business appraisal review (ARM) since 2015.   

New Business Acquisition

Purchasers of small businesses frequently rely on valuation opinions offered to them freely by business brokers, and purchasers of large businesses frequently rely on valuation opinions of investment bankers.  While these opinions are not necessarily inaccurate, the parties offering these opinions are conflicted by virtue of their collection of commissions from sales transactions.  These type of situations do not involve taxation or litigation, but the procurement of a professional opinion prior to committing to such a large expenditure is wise.  

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Other Applications:

Small Business Administration Loans, Commercial Credit Analysis, Estate Planning

Interested in a loan to buy a business?  The Small Business Administration (SBA) will sometimes sponsor loans for the purchase of small business interests; however, the SBA requires that business appraisals be obtained for these transactions.

  

Are you a commercial property landlord and want to know if a potential lessee is a good credit risk?   Looking at their credit score will tell you their past payment history; looking at their books will tell you more.

Are you trying to equitably divide your estate among your  heirs but do not want to break up ownership and control of your business?  Valuing the business can solve the problem of determining what a fair distribution of assets would be.