Capital Adequacy Opinions

In many states, when a company contemplates a repurchase of stock or payment of a special dividend to shareholders, statutes require that the enterprise demonstrate that it would not be left with impaired capital. VRC determines and documents whether the fair market value of a company’s assets exceeds the company’s liabilities by an amount in excess of a proposed repurchase or special dividend payment.  We can provide a capital adequacy opinion either as a freestanding service or as an adjunct to a solvency opinion.