The value of a business interest is valid as of a specific date. The effective date is a critical cutoff point because events that occur after that date generally are not taken into account when estimating value. However, there are two key exceptions. 1. When an Event Is Foreseeable Subsequent events that were reasonably foreseeable on the effective…

The Supreme Court’s decision declaring the Defense of Marriage Act (DOMA) unconstitutional was a watershed event that may require some same-sex couples to reconsider the financial strategies they currently have in place. But uncertainties abound. Federal agencies still need to interpret portions of Supreme Court’s ruling. And, with many states not recognizing same-sex marriages, challenges remain for those…

Working capital is sometimes overlooked in determining the value of a business. But it can have a material effect on value, so it’s important to remember. A business’s working capital equals the difference between its current assets and current liabilities. When the value of a business is determined under either the income or the market approach,…