{"product_id":"the-market-approach-to-valuing-businesses-isbn-9780471696544","title":"The Market Approach to Valuing Businesses","description":"\u003cb\u003eYour Best Approach to Determining Value\u003c\/b\u003e  \u003cp\u003eIf you're buying, selling, or valuing a business, how can you determine its true value? By basing it on present market conditions and sales of similar businesses. The market approach is the premier way to determine the value of a business or partnership. With convincing evidence of value for both buyers and sellers, it can end stalemates and get deals closed. Acclaimed for its empirical basis and objectivity, this approach is the model most favored by the IRS and the United States Tax Court-as long as it's properly implemented.\u003c\/p\u003e \u003cp\u003eShannon Pratt's \u003cb\u003e\u003ci\u003eThe Market Approach to Valuing Businesses\u003c\/i\u003e\u003c\/b\u003e, Second Edition provides a wealth of proven guidelines and resources for effective market approach implementation. You'll find information on valuing and its applications, case studies on small and midsize businesses, and a detailed analysis of the latest market approach developments, as well as:\u003c\/p\u003e \u003cul\u003e \u003cli\u003eA critique of US acquisitions over the last twenty-five years\u003c\/li\u003e \u003cli\u003eAn analysis of the effect of size on value\u003c\/li\u003e \u003cli\u003eCommon errors in applying the market approach\u003c\/li\u003e \u003cli\u003eCourt reactions to the market approach and information to help you avoid being blindsided by a litigation opponent\u003c\/li\u003e \u003c\/ul\u003e \u003cp\u003eMust reading for anyone who owns or holds a partial interest in a small or large business or a professional practice, as well as for CPAs consulting on valuations, appraisers, corporate development officers, intermediaries, and venture capitalists, \u003cb\u003e\u003ci\u003eThe Market Approach to Valuing Businesses\u003c\/i\u003e\u003c\/b\u003e will show you how to successfully reach a fair agreement-one that will satisfy both buyers and sellers and stand up to scrutiny by courts and the IRS.\u003c\/p\u003e  List of Exhibits.  \u003cp\u003eForeword.\u003c\/p\u003e \u003cp\u003ePreface.\u003c\/p\u003e \u003cp\u003eAcknowledgments.\u003c\/p\u003e \u003cp\u003eNotation System Used in This Book.\u003c\/p\u003e \u003cp\u003eIntroduction.\u003c\/p\u003e \u003cp\u003ePART I: DEFINING MARKET MULTIPLES AND MARKET APPROACH METHODS.\u003c\/p\u003e \u003cp\u003e1. Defining Market Value Multiples.\u003c\/p\u003e \u003cp\u003e2. The Guideline Public Company Method.\u003c\/p\u003e \u003cp\u003e3. The Guideline Transaction (Merged and Acquired Company) Method.\u003c\/p\u003e \u003cp\u003e4.Other Market Methods.\u003c\/p\u003e \u003cp\u003ePART II: FINDING AND ANALYZING COMPARATIVE MARKET TRANSACTION DATA.\u003c\/p\u003e \u003cp\u003e5. Finding Public Company Market Transaction Data.\u003c\/p\u003e \u003cp\u003e6. Finding Merger amd Acquisition Market Data.\u003c\/p\u003e \u003cp\u003e7. Adjusting Financial Statements.\u003c\/p\u003e \u003cp\u003e8. Comparative Financial Analysis.\u003c\/p\u003e \u003cp\u003ePART III: COMPLILING MARKET VALUE TABLES AND REACHING A VALUE CONCLUSION.\u003c\/p\u003e \u003cp\u003e9. Compiling Useful Market Value Tables.\u003c\/p\u003e \u003cp\u003e10. Selecting, Weighting, and Adjusting Market Value Multiples.\u003c\/p\u003e \u003cp\u003e11. Control Premiums and Minority Discounts.\u003c\/p\u003e \u003cp\u003e12. Discounts for Lack of Marketability.\u003c\/p\u003e \u003cp\u003ePART IV: SAMPLE MARKET APPROACH CASES.\u003c\/p\u003e \u003cp\u003e13. Small-Size Service Company Sample Case-Sub Shop.\u003c\/p\u003e \u003cp\u003e14. Medium-Size Service Company Sample Case-Software Developer.\u003c\/p\u003e \u003cp\u003ePART V: IMPORTANT ASPECTS OF USING THE MARKET APPROACH.\u003c\/p\u003e \u003cp\u003e15. Reconciling Market Approach Values with Income and Asset Approach Values.\u003c\/p\u003e \u003cp\u003e16. Does Size Matter? Evidence from Empirical Data.\u003c\/p\u003e \u003cp\u003e17. Common Errors in Implementing the Market Approach.\u003c\/p\u003e \u003cp\u003e18. The Dismal Track Record of U.S. Market Acquisitions.\u003c\/p\u003e \u003cp\u003e19. The Market Approach in the Courts.\u003c\/p\u003e \u003cp\u003eAppendix A: Bibliography.\u003c\/p\u003e \u003cp\u003eAppendix B: Data Resources.\u003c\/p\u003e \u003cp\u003eAppendix C: International Glossary of Business Valuation Terms.\u003c\/p\u003e \u003cp\u003eAppendix D: The Quantitative Marketability Discount Model.\u003c\/p\u003e \u003cp\u003eAppendix E: Pratt's Stats\u003csup\u003e\u003csmall\u003eTM\u003c\/small\u003e\u003c\/sup\u003e Data Contributors.\u003c\/p\u003e \u003cp\u003eIndex.\u003c\/p\u003e \u003cb\u003eShannon P. Pratt, CFA, FASA, MCBA, CM\u0026amp;AA,\u003c\/b\u003e is the Chairman and CEO of Shannon Pratt Valuations, Inc. a premier business valuation firm located in Portland Oregon, and is the founder and Editor Emeritus of Business Valuation Resources, LLC. Over a distinguished career of close to four decades, he has performed valuation engagements for M\u0026amp;A, ESOPs, gift and estate taxation, marital dissolution, shareholder oppression and dissent, and numerous other purposes. He has conducted numerous fairness and solvency opinions, has testified in a wide variety of federal and state courts across the country, and frequently participates in arbitration and mediation proceedings. Dr. Pratt is one of the most successful and respected authors in his field. He is the author or coauthor of several industry standards, including \u003ci\u003eValuing a Business: The Analysis and Appraisal of Closely Held Companies,\u003c\/i\u003e \u003ci\u003eValuing Small Businesses and Professional Practices,\u003c\/i\u003e \u003ci\u003eThe Market Approach to Valuing Businesses,\u003c\/i\u003e \u003ci\u003eStandards of Value,\u003c\/i\u003e \u003ci\u003eBusiness Valuation and Taxes, The Lawyer's Business Valuation Handbook,\u003c\/i\u003e and \u003ci\u003eCost of Capital.\u003c\/i\u003e  The market approach is an increasingly popular way to determine a business's value—for both buyers and sellers. Praised for its objectivity, this approach reviews the annual sales and other financial variables of comparable businesses for guidance in valuation. When well implemented, the market approach is the model most favored by the IRS and the United States Tax Court.  \u003cp\u003eYou could say that Shannon Pratt wrote the book on the market approach. Published in 2000, his groundbreaking book The Market Approach to Valuing Businesses set the standards and explained the theory and methodology for this evolving approach. Expanded and updated to encompass the latest rulings and source data, the new Second Edition is an indispensable reference for beginning and experienced appraisers, intermediaries, buyers, sellers, attorneys, CPAs, or judges. It covers:\u003c\/p\u003e \u003cul\u003e \u003cli\u003eBoth The Guideline Public Company Method and The Merger \u0026amp; Acquisition (Transaction) Method\u003c\/li\u003e \u003cli\u003eA discussion of past transactions, offers to buy, rules of thumb, and buy-sell agreements\u003c\/li\u003e \u003cli\u003ePricing for purchases and sales\u003c\/li\u003e \u003cli\u003eValuation for gift and estate taxes and marital dissolution\u003c\/li\u003e \u003cli\u003eShareholder matters, including dissenting stockholder suits and resolutions of value under buy-sell agreements\u003c\/li\u003e \u003cli\u003eHow to find and analyze comparative market transaction data\u003c\/li\u003e \u003cli\u003eAnalysis of the most recent cases in family law, tax, and shareholder dispute courts\u003c\/li\u003e \u003c\/ul\u003e \u003cp\u003eComplete with sample cases, an extensive bibliography, an appendix on data resources, the Quantitative Marketability Discount Model, and a list of business brokers and their specialties, The Market Approach to Valuing Businesses is an authoritative, state-of-the-art treatise for both valuation professionals and nonprofessionals.\u003c\/p\u003e  Your Best Approach to Determining Value  \u003cp\u003eIf you're buying, selling, or valuing a business, how can you determine its true value? By basing it on present market conditions and sales of similar businesses. The market approach is the premier way to determine the value of a business or partnership. With convincing evidence of value for both buyers and sellers, it can end stalemates and get deals closed. Acclaimed for its empirical basis and objectivity, this approach is the model most favored by the IRS and the United States Tax Court—as long as it's properly implemented.\u003c\/p\u003e \u003cp\u003eShannon Pratt's The Market Approach to Valuing Businesses, Second Edition provides a wealth of proven guidelines and resources for effective market approach implementation. You'll find information on valuing and its applications, case studies on small and midsize businesses, and a detailed analysis of the latest market approach developments, as well as:\u003c\/p\u003e \u003cul\u003e \u003cli\u003eA critique of US acquisitions over the last twenty-five years\u003c\/li\u003e \u003cli\u003eAn analysis of the effect of size on value\u003c\/li\u003e \u003cli\u003eCommon errors in applying the market approach\u003c\/li\u003e \u003cli\u003eCourt reactions to the market approach and information to help you avoid being blindsided by a litigation opponent\u003c\/li\u003e \u003c\/ul\u003e \u003cp\u003eMust reading for anyone who owns or holds a partial interest in a small or large business or a professional practice, as well as for CPAs consulting on valuations, appraisers, corporate development officers, intermediaries, and venture capitalists, The Market Approach to Valuing Businesses will show you how to successfully reach a fair agreement—one that will satisfy both buyers and sellers and stand up to scrutiny by courts and the IRS.\u003c\/p\u003e","brand":"Wiley","offers":[{"title":"Default Title","offer_id":47990284157157,"sku":"NP9780471696544","price":190.0,"currency_code":"USD","in_stock":false}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/1842\/7735\/files\/9780471696544.jpg?v=1761787196","url":"https:\/\/k12savings.com\/products\/the-market-approach-to-valuing-businesses-isbn-9780471696544","provider":"K12savings","version":"1.0","type":"link"}