December 2, 2020, 1:00-3:00 pm EST
Valuing Small Businesses During COVID-19
The effects of COVID-19 on the economy have magnified risk and uncertainty for small business – making the job of valuators more difficult. This webinar will focus on valuing these businesses in the times of COVID-19.
Presenter Gregory R. Caruso, JD, CPA, CVA will dive into problematic areas of small business valuation cases to review theory and apply it to best practices and professional judgment. This program will emphasize practical approaches. Questions from the audience are encouraged.
VPS Special Pricing and Attendance Policy:
Pay one fee of $239 for your staff to participate, including your remote offices.
Your employees can receive 2 CPE credits for attending the live presentation at NO additional fee.
Outline and Learning Objectives:
The participant will learn about the following:
- Distinguishing differing risk factors between large companies and micro and very small companies
- Collection of qualitative data such as internal soft data (processes, management, etc.) and external soft data (economy, industry, etc.) and the application of findings to valuation cash flows and risk adjustments
- Developing and selecting a cash flow in the market and income methods, including add-backs and adjustments, weighting, support documentation, and tax affecting for the income method
- Selecting a multiplier in the market method and developing a capitalization rate for the income method as it pertains to micro and small businesses
- Estimating and applying a marketability discount for a control interest for periods of high uncertainty
- Reviewing a projection to determine suitability as a forecast and applying that projection to future cash flow estimates
- Integrating the balance sheet (or lack of balance sheet) into micro and small business valuations, considering estimating working capital and excess current assets, included and excluded assets and the effect on value found, and going concern issues in capital-intensive industries
Participants will have access to a copy of the presentation slides and a video recording of the program.
Gregory R. Caruso, JD, CPA, CVA
Author, Business Broker & Valuation Expert, Recovering Attorney, Skier.
After valuing hundreds of small businesses, brokering over 60, and being Editor in Chief of “Around the Valuation World,” the National Association of Certified Valuators and Analysts monthly continuing education webinar, he has written “The Art of Business Valuation, Accurately Valuing a Small Business.” www.theartofbusinessvaluation.com. In this book, he shares effective valuation methodologies and common-sense practices for valuing small businesses with revenues less than $10 million. As he frequently explains, Home Depot is not the same as a local hardware store, nor should it be valued the same way!
Greg’s resume is varied as he has taken the road less traveled, enjoying a number of different professions and learning as much as he can from each. After stints in construction project management, home building, sales and law, he collected all of his knowledge in these areas and has been working as a business valuation expert and business broker for the last two decades.
With roots in Indiana, Virginia and Maryland, Greg now splits time between his East Windsor New Jersey home and his Steamboat Springs, Colorado home with Robbin, his wife. When not working as a business broker, writing a book or leading Your Profitable Practice peer groups (yes, he does that too!), he enjoys skiing, hiking, and occasionally fly fishing.
Jim Hitchner’s Valuation Products and Services (VPS) provides tools to assist practitioners in business valuation, litigation services, and forensics and fraud.
Valuation Products and Service, LLC is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be addressed to the National Registry of CPE Sponsors, 150 Fourth Avenue North, Suite 700, Nashville, TN, 37219-2417. Web site: www.nasba.org.