The Implied Private Company Pricing Line

BVResearch Pro
Training Event Transcripts
November 7, 2013
Rod Burkert, CPA/ABV, CVA
Robert M. Dohmeyer, ASA


In the September 2013 issue of Business Valuation Update™, experts Robert Dohmeyer, Peter Butler, and Rod Burkert laid out a new approach to cost of capital estimation for private businesses whose revenues are less than $10 million. Their model, the implied private company pricing line, seeks to eliminate "pitfalls for unsystematic risk, liquidity, small stock premium, PTE taxes, and cash/leverage by utilizing real transaction market-clearing prices between buyers and sellers of comparable small private businesses." In their webinar of the same name, Dohmeyer and Burkert present their model in an expanded, interactive format.
The Implied Private Company Pricing Line
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