Chris Lovin's blog
Christopher M. Lovin, Partner in LBMC’s Valuation, Litigation & Business Transition Services Group, has been invited to speak at a seminar that is important for all closely-held business owners. The seminar, entitled Business Ownership Succession Planning, will be held in Nashville, Tennessee on Thursday, August 4, 2011, at the Doubletree Hotel located at 315 Fourth Avenue North. read more »
Tags: The following link to the Journal of Accountancy will take you to an article regarding proposed changes in the process for testing for goodwill impairment. The article also contains a link to the FASB's exposure draft.
http://www.journalofaccountancy.com/Web/20114099.htm
Let us know what you think about this proposal.
This entry continues a blogging convergence of two things that I love –business valuation and baseball, 7-year old peewee baseball. I hope that this series of blogs will be thought-provoking and entertaining as you reflect on your company’s situation knowing that you will transition ownership of the company at some point in the future. read more »
This entry continues a blogging convergence of two things that I love –business valuation and baseball, 7-year old peewee baseball. I hope that this series of blogs will be thought-provoking and entertaining as you reflect on your company’s situation knowing that you will transition ownership of the company at some point in the future. read more »
Today will mark a blogging convergence of two things that I love –business valuation and baseball, 7-year old peewee baseball. I hope that this series of blogs will be thought-provoking and entertaining as you reflect on your company’s situation knowing that you will transition ownership of the company at some point in the future. read more »
CNBC has a new show called Divorce Wars (www.cnbc.com/id/41193264). The show's preview and web site contain many of the same elements that we deal with every day in cases whether there are many assets at stake or there is only one primary asset at stake (for example, a closely held business or a stock portfolio). Unfortunately, emotion, resentment, suspicion and greed come into play for one or both spouses in many of the divorce cases in which we are involved. read more »
I met last week with a business owner who had a question about the value of his company. He is hoping it is worth at least $20 million but has no idea if that is reasonable. He founded the company several years ago, operates in a small niche and has grown the company into a market leader for the technology that his company develops. (Writer’s note: The fact that this company is a market leader and the owner is hoping to get $20 million shows the small size of the niche.) He is hoping to sell the company and sees significant growth opportunities ahead. read more »
The Small Business Jobs Act approved in September 2010 provided the SBA with enough funding to support $14 billion in lending to small businesses. The Act also permanently increased loan limits from $2 million to $5 million making SBA-backed loans a key source of capital for small business owners. LBMC is going to host an informational meeting and networking hour to discuss business valuation requirements for certain SBA-backed loans. The meeting and networking opportunity will be in late February or early March in Nashville, Knoxville and Chattanooga. read more »
In Uniloc USA, Inc. and Uniloc Singapore Private Limited v. Microsoft Corporation, the U.S. Court of Appeals ruled that "... the 25 percent rule of thumb is a fundamentally flawed tool for determining a baseline royalty rate in a hypothetical negotiation. Evidence relying on the 25 percent rule of thumb is thus inadmissible under Daubert and the Federal Rules of Evidence, because it fails to tie a reasonable royalty base to the facts of the case at issue." read more »
FASB's Emerging Issues Task Force (EITF) recently issued Accounting Standards Update 2010-28 which provides guidance on when to perform Step Two of the goodwill impairment test for reporting units (RUs) having zero or negative carrying values. ASC Topic 350 requires a two-part test to determine if goodwill impairment exists. Step One of the goodwill impairment test requires a comparison of a RU's carrying amount to its fair value. If the RU's fair value exceeds its carrying value, then there is generally no indication that goodwill is imp read more »
My name is Christopher M. Lovin (“Chris”), CPA/ABV/CFF, CFE. My professional expertise is in forensic accounting (e.g. calculations of economic damages and embezzlement cases) and the valuation of businesses and intangible assets. I may also talk about Tennessee and SEC collegiate sports. Feel free to comment on any post to get the conversation rolling! If you have specific questions, click here to contact me directly.
