It’s now the Butler Pinkerton Calculator™ (formerly the Butler Pinkerton Model™)—a name change because “Calculator” simply represents better what the product does: It calculates the company-specific risk (and the total cost of equity, TCOE) of a public company, which is then available as a proxy for an appraiser’s calculation of company-specific risk in a private company valuation. The calculations are still based on long-standing financial equations (including total beta), so there’s been no change to the fundamentals.

Have you tried the Butler Pinkerton Calculator yet? More appraisers are using this calculator to confirm their cost of equity and company-specific risk conclusions. Because it's based on empirical data, the discount rates derived from the Butler Pinkerton Calculator (in addition to other sources such as Duff & Phelps and SBBI data) offer valuation experts—and their clients—the maximum protection against challenges in court and in practice. Free trials are now available: Contact randyc@bvresources.com for a free, two-week trial of the Calculator. Annual subscriptions are available to new customers for $125; for more information, click here.