Learn how fraud and valuation matters are handled during bankruptcy
Release Date: 06/04/2021
Financial Instrument Valuation Series: SAFEs, Convertible Notes, and Embedded Derivatives
The FVS Valuation Podcast
Simple Agreement for Future Equity (SAFEs), convertible notes, and embedded derivatives are among financial instruments which feature optionality, which can obscure confidence in the expected value of the associated future economic benefits. Published guidance is limited, and adding to the complexity, some alternative investment transactions have optionality features lurking within, dormant, and not readily apparent. This presents a wrinkle for practitioners who try to value assets which could morph into something else tomorrow. Listen to how specialists in this area approach...
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Women Leaders in Business Valuation
The FVS Valuation Podcast
To celebrate Women's History Month, we are excited to share a special episode for our FVS Valuation podcast which explores the diverse backgrounds of several business valuation leaders, their paths into a career in business valuation, and their journeys to becoming experts in the field. The conversation highlights the many routes that can lead to success in business valuation, including The significance of obtaining the Accredited in Business Valuation (ABV) credential and how it has impacted their careers Their strategies for achieving a healthy work-life balance while excelling...
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Transparency in Private Market Valuations
The FVS Valuation Podcast
In early 2025, the new US administration has been implementing changes which could affect regulatory oversight in private markets and alternative investments. Transparency in asset valuation is vital, especially where regulation is limited. Inadequate valuations or outdated financial reports can negatively impact investor decisions, leading to market inefficiencies and reduced confidence. Our presenter, an expert in private market valuation, provides insights and recommendations on managing these issues. Key takeaways: Industrywide benefits of enhanced transparency How to verify...
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Reconciling Discount Rates for Intangible Asset Valuation in PPAs
The FVS Valuation Podcast
Maryellen and Ross delve into the subjectivity and controversy surrounding discount rates, the importance of understanding the asset and forecast inputs, and the application of market participant assumptions. Including these key takeaways: Subjectivity in Discount Rates: Understanding the significant subjectivity and controversy in determining discount rates. Qualitative Assessments: The role of qualitative assessments in aligning discount rates with associated risks. Resources and Guides: Utilizing available resources to enhance valuation analyses. Continue reading to learn about key...
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Valuation Considerations in Equity Compensation
The FVS Valuation Podcast
Derivatives such as options have been used to reward employees for many years, and executive pay packages often include features of complex derivative securities such as options and restricted stock with vesting schedules based on various contingencies. Join us for a deeper look of what’s “under the hood” in the relevant valuation techniques such as lattice models and Monte Carlo simulation, and how these relate to regulations such as ASC 718 and the new Pay versus Performance (“PvP”) requirements for proxy statements. • Relevance of Internal Revenue Code...
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M&A vs Equity Analysis (revisit)
The FVS Valuation Podcast
This is a refreshed version of an episode from October 2022. Professor Matthew Shaffer shares his journey into the field of accounting and his interest in corporate governance, valuation, and the market for corporate control. His article, "Why Value the Enterprise and Route to the Equity," explores the rationale behind using enterprise value evaluations in M&A settings instead of directly valuing equity. Josh and Matt discuss: Accounting as a fundamental framework for understanding business activities and market movements. Impact of Non-Recurring Items on Valuation Methods: Future...
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Estate Planning – Anticipating the Change in 2025
The FVS Valuation Podcast
Plan early! The Tax Cut and Jobs Act (TCJA) significantly increased the estate tax exemption and there is uncertainty around whether it will be extended or modified. It's recommended to plan early and not wait until the last minute to ensure all necessary legal and valuation work can be completed in time. Greg Saunders and Lisa Cribben explore the complexities of estate planning and valuation, emphasizing the importance of early and continuous planning. They discuss various strategies to manage and reduce estate taxes, the critical role of valuation appraisers, and the potential impact of...
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Valuation Case Law Update
The FVS Valuation Podcast
In this interview, Dave and Natalya discuss several significant court cases related to gift and estate tax valuations, ESOPs, and control issues in business valuations. Throughout the discussion, they emphasize the need for careful planning and the potential implications of court decisions on future valuation practices: Controversial Connolly Case which included life insurance proceeds in the value of a company for estate tax purposes Importance of Proper Valuation Methods: The discussion emphasized the need for accurate and appropriate valuation methods, particularly in ESOP cases...
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Macroeconomic Update 2024 - Cost of Capital & Valuation Impact
The FVS Valuation Podcast
This interview was recorded on 10/28/24 at the AICPA-CIMA Forensic and Valuation Services Conference prior to the presidential election on 11/5. Economic issues discussed are still relevant as of the publish date11/21/24 Don’t miss this deep dive into the cost of capital and its implications for businesses and investors Nunes and Harrington, both from Kroll, share a macroeconomic update with the FVS podcast, focusing on the cost of capital and its valuation impact. The U.S. economy is performing better than expected, avoiding a recession and potentially achieving a soft landing, with...
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Discounted Cash Flows with Roger Grabowski (revisit)
The FVS Valuation Podcast
This is a refreshed version of an episode from June 2022. Roger Grabowski has made numerous contributions to the field of valuation, particularly in forecasting cash flows using the discounted cash flow method (DCF). Roger speaks with Josh about the evolution of valuation practices and emphasizes the importance of understanding historical growth and differentiating between organic growth and growth through acquisitions. Topics discussed include: The importance of learning about the company and its management Thank you, Shannon Pratt - writing and presenting technical topics in an accessible...
info_outlineGuests: Sugi Hadiwijaya, Partner, CR3 Partners LLC, and Jermaine Watson, Partner, Bonds Ellis Eppich Schafer Jones
The podcast highlights basic aspects on how fraud-related matters are managed in bankruptcy context. The podcast will cover issues such as:
- automatic stay
- ability to segregate operating assets from fraud-based liabilities
- typical outcome in fraud-driven bankruptcy filings
The podcast will also discuss the valuation in bankruptcy which is primarily related to establishing reorganized value. It’ll cover:
- critical purpose since reorganized value will drive recovery for stakeholders
- valuation fight and how it is generally handled via opposing valuation expert reports and testimonies
- factors bankruptcy judges may use to rule in valuation fight
The episode is brought to you by the AICPA’s Forensic and Valuation Services Section, the premier provider of information, tools, advocacy and guidance for professionals who specialize in providing forensics, valuation, fraud, fair value and damages and by the CFF Credential and ABV Credential programs which allow AICPA members to demonstrate competence and confidence in providing these services to their clients. Visit us online at www.aicpa.org/fvs to join our community and gain access to valuable member-only benefits.
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