It’s a common myth that spouses always divide their assets evenly between them if they get divorced. While it’s true that assets are typically divided between a couple in cases of marital dissolution, such division of property may not necessarily be equal.
While equity value, enterprise value, and invested capital value are related, there are significant differences between them. Understanding those differences is a crucial component in reaching an appropriate transaction price.
As a result of the Tax Cuts and Jobs Act of 2017, alimony payments will no longer be deductible under divorce agreements entered into after December 31, 2018. So, what does this change mean for divorcing spouses and their counsel? Simply put, alimony payments will no longer be taxable to recipients.
We have waited in limbo for the past year to learn the fate of these proposed changes to the tax code. Just over a week ago, the estate and gift tax planning world finally received some closure.
Sean Saari, CPA / ABV / CVA / MBA, authored a feature article in the July/August 2017 edition of the Cleveland Metropolitan Bar Journal.
One of my favorite games as a kid was the murder-mystery classic Clue. Do you remember trying to deduce the culprit, the murder weapon and the room in which the attack took place? “I think it was Colonel Mustard in the kitchen with the candlestick.” “I think it was Mrs. Peacock in the hall with […]
The Capitalization of Cash Flow Method is most often used when a company is expected to have a relatively stable level of margins and growth in the future – it effectively takes a single benefit stream and assumes that it grows at a steady rate into perpetuity.
There are two income-based approaches that are primarily used when valuing a business, the Capitalization of Cash Flow Method and the Discounted Cash Flow Method. These methods are used to value a company based on the amount of income the company is expected to generate in the future.
This balance sheet-focused method is used to value a company based on the difference between the fair market value of its assets and liabilities.