What’s in the May 2022 issue of Business Valuation Update

BVWireIssue #235-4
April 27, 2022

Here’s what you’ll see:

  • Comments on an Article on Attracting More Practitioners to BV” (BVR Editor). An article in last month’s Business Valuation Update discussed the need to make business valuation a more recognized career path. This article includes some very thoughtful comments by Dr. Michael A. Crain, CPA/ABV, CFA, CFE, an academic and practitioner.
  • How Direct Loan Market Participants Are Handling the Handoff From LIBOR to SOFR” (John Czapla). The transition from the London interbank offered rate (LIBOR) to the secured overnight fund rate (SOFR) will continue to present challenges for private lenders and their operating and valuation teams as long as loan portfolios have a mix of LIBOR- and SOFR-based deals and as long as there are numerical differences between term SOFR and term LIBOR. The author is chairman of Valuation Research Corp. and head of its portfolio securities valuation practice.
  • A Lesson in Healthcare Supply and Demand—and Market Power, Part 2” (Mark O. Dietrich, CPA/ABV). This is Part 2 of a two-part article that follows up on the author’s landmark research on the fair market value of physician compensation. The issue of insurance market structure and the related impact on the negotiating of provider contracts was addressed in Part 1 of this article. Physician distribution and the impact of local payment rates that determine compensation is addressed in Part 2.
  • A Bird’s-Eye View of Major Intangible Asset Benchmarks” (Christof Binder, Ph.D.). An analysis of over 30,000 intangible assets and the types most prevalent in acquisitions, including asset values, royalty rates/profit margins, and useful lives.
  • Breaking Into Bankruptcy Valuations With Little—or No—Experience” (BVR Editor). There are a lot of opportunities for business valuation analysts in the context of financially distressed or bankrupt companies. A veteran expert gives some advice on how to add this area to your practice regardless of your level of direct experience.
  • Using the Valuation Report as a Selling Tool” (Gary Trugman, CPA/ABV, FASA, MVS). A business valuation report is the perfect forum for selling the valuation analyst’s conclusion regarding the value of the valuation subject. This is an excerpt from the new sixth edition of Understanding Business Valuation, which has a companion website that includes a good selection of full sample valuation reports.

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,” “FactSet Mergerstat/BVR Control Premium Study,” “Economic Outlook for the Month,” and the “Cost of Capital Center”; and
  • BVLaw Case Update: The latest court cases that involve business valuation issues.

To stay current on business valuation, check out the May 2022 issue of Business Valuation Update.

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