At the AICPA FVS conference in Nashville, BVWire spoke with Linda Trugman (Trugman Valuation Associates Inc.) who gave a presentation. We talked about the guideline public company (GPC) method for valuing private companies, which is the subject of a webinar she will present on November 17 along with Rob Schlegel (Houlihan Valuation Advisors).

High anxiety: “In general, people are afraid of the GPC method,” says Trugman. “There’s a great deal of analysis necessary in order to do it right, so a lot of experts do not consider it. But valuation standards, and of course IRS Revenue Ruling 59-60, say you have to consider all approaches so you can’t avoid it. During our webinar, we will explain it in such a way that people will not be afraid of it.”

The webinar, Using Guideline Public Company Data for Private Company Valuation, also present the various sources for GPC data and examples of how to adjust for size and growth differences.