Client Services

HbK Valuation Group, LLC has prepared numerous valuation services for clients ranging from sole proprietorships to large privately held companies. We can prepare an independent, reliable and a well balanced valuation analysis and report for a wide variety of reasons including:

 

  • Mergers and Acquisitions
  • Estate and Gift Taxes
  • Buy/Sell Agreements
  • Expert Testimony and Litigation Support
  • Divorce
  • Bankruptcy Proceedings
  • ESOP Transactions
  • Charitable Contributions
  • Conversion of C-Corp. to S-Corp. (Built-in-gain analysis)
  • FLP's and LLC's holding real estate or marketable securities
  • Stock option analysis
  • Purchase Price Allocation - SFAS 141
  • Goodwill Impairment - SFAS 142
  • Valuation of Intangible Assets
  • Valuation of Professional Practices
  • Blockage Discount Analysis

 

Typical Valuation Procedure


Our professionals follow certain set procedures to ensure a comprehensive and well-supported analysis to support our estimate of value. Each valuation engagement is unique and is based on the business or ownership interest being valued. The valuation procedure we adopt for a particular engagement depends on the purpose of the valuation and the financial/operating characteristics of the company involved. Generally, the following steps are involved.

  • Contact with the client or their advisors to discuss the purpose of the valuation, interest to be valued, standard of value, valuation date to be used, project deadlines and preliminary company/industry description and basic financial information.

  • Submission of an engagement letter that describes the services that we will provide, the fee for the assignment and the deadline by which final valuation reports will be submitted.

  • If engaged by the client, we will prepare an information request list that is specific to the company being valued, the industry it operates in, and our review of the preliminary financial information provided.

  • On receipt of the requested information, we will review and analyze the information and start our preliminary analysis and reporting.

  • Next, we will schedule a management interview either by telephone or a company visit, wherein we will discuss with key personnel, the company, products and services, the firm’s recent history and development, industry-specific factors/competitive environment, earnings and cash flow prospects and expectations, underlying asset values, business/financial risks and key employee profiles.

  • Based on our selection of appropriate valuation approaches, discounts or premiums applied and reconciliation of values indicated by various methods, we will prepare a detailed analysis and preliminary valuation draft report. On further discussion with the client, and after any additional revisions, we will issue a final, bound valuation report.

  • We work closely with our clients to ensure our valuation reports are fully understood and will be responsive to their needs for any further discussion or additional services even several years after an initial engagement.


Types of Valuation Reports


  • Full or Comprehensive Report – As the name suggests, these reports present an opinion of value of the business or ownership interest and is supported by all extensive research, analysis and documentation.


  • Calculation Report – The purpose of this report is to derive an approximate indication of value based on limited information and analytical procedures as agreed upon by the client and us.


  • Fairness Opinions – A fairness opinion is a professional evaluation by us as to whether the terms of a merger, acquisition, buyback or spin-off are fair. The fairness opinion does not include an opinion of value, but only an opinion as to whether we believe that the offer received by the company is fair for its shareholders from a financial perspective. In this analysis, we will evaluate the total consideration being offered, the company’s past history and outlook, the prices at which similar businesses have sold and any additional investment characteristics of the company. We will then issue a fairness opinion letter stating whether or not the transaction is fair to the minority shareholders of the company.


  • Critique of Another Appraiser’s Report – We can review and rebut a valuation report prepared by another appraiser. As such, this service does not include us rendering an opinion of value of the business or interest being valued.

  • Beyond The Basics

    Services

    We certainly cover the standard accounting, audit and tax, but there is much more to the services that we offer. See the list of services we provide via the drop down menu above and you will see how we provide services for the individual all the way to multi-million dollar international businesses.



  • Times Have Changed

    Many years ago it was actually un-professional conduct for accountants to advertise. The reason you don’t see many billboards or commercials on TV for CPA firms is that we develop business through relationships. We always appreciate a business referral to share how HbK can help. See the Principal Profiles page to make a direct contact with someone regarding a referral.



  • Lifelong Learning

    Training

    Hbk recently won an award for our training program, HbK Leadership University. One of the features of that program that sets us apart is that much of our training is done in house – we teach the HbK Way along with the how and why. This allows our staff to get up to speed quicker and better able to serve you.