The ABCs of BDCs: Private Debt and SEC Concerns
Business development companies, or BDCs, represent a growing class of relatively large, closed-end, SEC-registered funds.
Common Valuation Issues With Illiquid Securities
Nuanced securities typically contain options and market conditions that alter cash flows over the life of the security and raise valuation challenges.
Functional Obsolescence: Loss of Asset Value Caused By Inefficiency or Inadequacies
A prudent investor will either implicitly or explicitly consider FO in the determination of a purchase price for the entire business.
What’s the Haircut? Determining the Fair Value of Deferred Revenue
Regardless of which accounting standard gives rise to deferred revenue, the valuation challenge is defining the performance obligation.
Valuation Concerns Pertaining to Assets in Franchise Restaurant Transactions
Restaurants continue to be attractive targets for financial sponsors and strategic acquirers
Understanding the Valuation of Profits Interests in Private Equity Transactions
To value profits interests, the economics of the equity capital must be clearly incorporated into the valuation.
AICPA Issues Accounting and Valuation Guide for IPR&D
The Guide discusses the application of various valuation techniques appropriate for IPR&D.
FASB Endorses PCC’s Accounting Alternatives for Private Companies
Amid controversy, the FASB endorsed the first two accounting alternatives approved by its Private Company Council (PCC).
Market Participant Acquisition Premiums
When valuing a business, determining the control premium is a significant, and often controversial, issue.
Fair Value Considerations: Accounting for Embedded Derivatives
Embedded derivatives require valuation at issuance and revaluation at all subsequent quarters with changes in value reported in earnings (non-cash).