BVWire is proud to be in its seventh year of providing the valuation community with the premier—and still complimentary!—source for actionable news, authoritative guidance, and practical resources specific to professional appraisers as well as attorneys, brokers, business owners, and more. During this tenure, nothing has quite stirred the passions and opinions of our esteemed and well-informed subscribers so much as a discussion of the discount for lack of marketability.
Last week’s issue was no exception: In an attempt to create a more readable report, we followed the story on a current tax case—in which art appraisers assert what amounts to a 100% marketability discount for an impossible-to-sell (if not illegal) piece that contains a stuffed bald eagle—with an item that described a “more relevant” online series on the DLOM (read: more relevant to BV), by Chris Mercer (Mercer Capital). By our mention, we certainly did not intend to convey an endorsement of any specific method or individual. Certainly, in our co-sponsorship of the only annual summit to focus specifically on the DLOM (presented for four years running with the Hon. David Laro, Mel Abraham, Jim Hitchner, and attorneys and valuation specialists), we have always strived to present a comprehensive, impartial overview of this very challenging technical and legal subject.
We also welcomed the emails from subscribers last week that pointed us to at least two current ongoing LinkedIn threads in which the DLOM is once again sparking an interesting if not enthusiastic debate among members. In the BVProfessionals group, the question of whether there can ever be a marketability discount for a 100% controlling interest has sparked nearly 150 comments in the three months that it has been active. The Valuation group is also engaged in a lively point/counterpoint with Mercer, Scott Hakala (CBIZ), and others on various aspects of Mercer’s online series. (Reminder: The LinkedIn groups require membership.) There are no requirements for a free subscription to the BVWire! For the extended future, we hope to continue the pleasure and privilege of providing responsible editorial services to the valuation profession. The BVWire editor welcomes comments, feedback, and continued inquiry.