Preview of the January issue of Business Valuation Update

BVWireIssue #267-3
December 18, 2024

Here’s what you’ll see:

  • “Business Valuation Year in Review 2024: The Rise of AI” (BVR Editor). It was an exciting year for the business valuation profession in 2024. Last year, our annual review highlighted the challenges in recruiting and keeping staff, which remains an issue for the profession. This year, we spotlight technology, and we also make some overall observations based on all the conferences and webinars we attended during the year and from the many opportunities we’ve had to speak directly with many of you.
  • “BVLaw Review: The Top Valuation Cases of 2024” (Jim Alerding). The BVLaw platform added over 60 cases during 2023, bringing the total to almost 4,400 cases in the database—plus accompanying case analyses that hit the valuation highlights. This article is a rundown of some of the more important cases for 2024.
  • “Rethinking the Site Visit in the Post-COVID-19 Era” (BVR Editor). During the pandemic, the physical on-site visit to a subject company vanished. Valuers used other means, including virtual tools, to inspect the business and complete their valuations. Now, in the post-COVID-19 era, will things return to normal, or will technology eliminate physical site visits? Have they lost their importance? Paul Hood and Tim Lee share their thoughts.
  • “Update on Incorporating ESG Factors Into a Business Valuation” (BVR Editor). There is a great deal going on with environmental, social, and governance (ESG) matters, including new regulatory and disclosure requirements, research studies, and guidance on integrating ESG factors into business valuations. This was all discussed during a recent BVR webinar with Carla Nunes (Kroll) and Nene Gianfala (Chaffe & Associates), who gave a comprehensive picture of the current ESG landscape and the impacts on valuation.
  • “Common Errors Addressed in Final AICPA Business Combinations Guide” (BVR Editor). At the ASA conference, Adam Smith of PwC, who was on the task force for the guide, discussed some common errors in practice the guide addresses, particularly with respect to the returns on intangible assets and inventory valuation.
  • “RESEARCH UPDATE: Featured Paper: ‘Expert Guide to Navigating Forensic Accounting and Valuation Professional Standards’” (BVR Editor). A monthly roundup of research papers of interest to valuation experts. The featured paper discusses the standards put forth by the AICPA, ASA, NACVA, and the CFA Institute, including USPAP. While they may be “complex and confusing,” they do not conflict, but there are differences. It’s up to the practitioner to determine the appropriate standards to follow based on the nature of the engagement. Other papers covered include financial forecasting, bias in ESG ratings, and whether the market puts a value on corporate culture.
  • BVLaw Featured Case: “New York Surrogate Court Finds Testimony Based on AI as Unreliable and Sets Standards for Admission of AI-Based Testimony,” Matter of Weber, 2024 N.Y. Misc. LEXIS 8609; 2024 NY Slip Op 24258 (Oct. 10, 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,” “Stout Restricted Stock Study and DLOM Calculator,” “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 January 2025 issue of Business Valuation Update.

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