Here’s what you’ll see:
- “USPAP/IVS Front and Center in Proposed Regs for Tax Valuations” (BVR Editor). The IRS has issued proposed regulations that would make changes to Circular 230 that would strengthen the agency’s ability to penalize or disqualify appraisers who do tax-related valuations. Two sets of valuation standards, USPAP and IVS, figure prominently in the proposed regs as benchmarks by which the IRS will scrutinize valuations. Public comments are due February 24, and a public hearing will be held March 6.
- “Grabowski on Using Academic Research to Back Up CSRP Estimates” (BVR Editor). Roger Grabowski, managing director (ret.) at Kroll, discusses the company-specific risk premium (CSRP) and how academic research can strengthen estimates and withstand challenges that the numbers are just picked out of the air.
- “AI Usage in Valuation: A View From the Bench” (BVR Editor). Judges are increasingly concerned about artificial intelligence (AI) and its implications for the legal system and its use by testifying experts. Programs are being developed internally to educate the courts and lawyers on AI’s role in legal processes, and the valuation profession can play a key role in this effort, according to judges who spoke during a session at a recent conference.
- “An Inside Look at Two Acquisitions in the BV Profession—and More” (BVR Editor). The debut program in BVR’s “Fireside Chat” series, hosted by BVR chairman David Foster, explored two recent acquisitions in the business valuation space: the acquisition of Marcum by CBIZ and the acquisition of Financial Research Associates by Stout. But the conversation expanded beyond the mergers to discuss some important issues in the valuation profession.
- “How a Small BV Practice Scales Up Amid a Labor Crunch” (Ben Towne). Insights from a small firm that uses a combination of full-time local employees, remote contractors, and international “in-house” talent to meet clients’ growing needs. It is a challenge to coordinate this widely dispersed team, but the advantages more than compensate.
- “VRC Gives an Update on Deals and Fund Valuations” (BVR Editor). A panel of leaders from Valuation Research Corp. (VRC) held a media roundtable in early December during which they discussed developments in their two primary practice segments: portfolio valuations and transactional services.
- “Research Update: Recap of Research Papers on Assessing Company Risk” (BVR Editor). A listing of research papers and sources cited by Roger Grabowski, managing director (ret.) at Kroll, that are helpful in substantiating otherwise subjective estimates in business valuations, especially in the estimation of company-specific risk.
- “Book Review: What’s New in the 5th Edition of Financial Valuation Applications and Models?” (Harold Martin). A review of Jim Hitchner’s new edition that is over 2,100 pages and has undergone substantive updates to existing material as well as new chapters on topics not previously discussed.
- BVLaw Featured Case: “Business’s Goodwill Determined to Be Enterprise Only; Covenant Not to Compete Does Not Change the Nature of the Goodwill,” Donahue v. Donahue, 2024 Fla. App. LEXIS 8801; 2024 WL 4795980 (Nov. 15, 2024).
The issue also includes:
- A full section of “BV News and Trends/Global BV News and Trends”;
- Regular features: “Ask the Experts” and “Tip of the Month”;
- BV data spotlight: “DealStats MVIC/EBITDA Trends,” “ktMINE Royalty Rate Data,” “Economic Outlook for the Month,” and the “Cost of Capital Center”; and
- BVLaw Case Update: A chart of the latest court cases that involve business valuation issues with one case featured in a detailed analysis.
To stay current on business valuation, check out the February 2025 issue of Business Valuation Update.
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