Here’s what you’ll see:
- “Roundup of Recent and Planned Updates to Valuation Standards and Guidance” (BVR Editor). A recap for valuation experts, includes updated valuation standards charts, new planned guidance from the AICPA and Appraisal Foundation, SEC rules, FASB projects, lease accounting, Rule 702, proposed legislation, and more.
- “Recap of the ASA New York Fair Value Conference” (BVR Editor). Important takeaways from the recent conference on these topics: global cost of capital, ASC 718 valuations, ESG impacts on value, discount rate for intangibles, hard-to-value securities, SPAC warrants, and more.
- “Stark Law FMV: Precluded Reliance on Market Data From Business-Related Parties” (Timothy Smith, CPA/ABV). The precluded reliance doctrine has been explicitly affirmed in the new Stark regulations, requiring the industry to pay critical attention to this doctrine in establishing FMV for Stark compliance purposes.
- “Hitchner v. Damodaran on Inputs to the Cost of Capital” (BVR Editor). Jim Hitchner (Valuation Products and Services) responds to some severe criticisms Aswath Damodaran (New York University Stern School of Business) made during a BVR webinar about certain inputs to the cost of capital. Hitchner also offers some best practices and a handy tool to use as a reasonableness check on your cost of capital estimate.
- “Latest Inside Look at the ktMINE Royalty Rate Database” (BVR Editor). “Understand your data” is one of the main tenets of the valuation profession. Brett Schoell gives an up-to-date look at the ktMINE royalty rate database and answers some questions. He is the product lead for ktMINE’s suite of applications, and he supports ktMINE’s transfer pricing and valuation customers.
- “Using Rule of Thumb Benchmark Data to Verify Financials” (BVR Editor). In addition to being used as a check to corroborate a value conclusion reached using other methods, rule of thumb data can be used to validate historical financials. This is particularly useful when valuing cash-intensive businesses. The article provides benchmark data for a dozen types of firms that do a lot of cash business.
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 September 2022 issue of Business Valuation Update.
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