Tax Valuations

Core Tax Valuation Needs We Support

• 409A valuations: private company common stock valuations for equity compensation.
• Gift and estate valuations: business interests and other assets for transfer planning and reporting.
• Charitable contributions: valuation support and documentation for substantiation purposes.
• Ownership interest considerations: analysis of control, marketability, and related economic features.

How We Build Defensible Conclusions

• Clear purpose and standard: we align scope to the intended use and the relevant valuation premise.
• Method selection: income, market, and asset approaches used as appropriate, with documented reconciliation.
• Reasoned adjustments: when control or marketability adjustments are relevant, we document the economic rationale and supporting evidence.
• Transparent assumptions: sources, timing, and judgment points are explicit and reviewable.

409A Valuations (Typical Workflow)

1. Company and cap table review: understand security rights, liquidation preferences, and recent financings.
2. Enterprise value estimate: apply appropriate valuation approaches for the company’s stage.
3. Allocation across securities: where needed, use defensible allocation frameworks consistent with capital structure features.
4. Support and documentation: deliver a memo/report and support internal governance needs.

Gift & Estate Valuations (Common Focus Areas)

• Historical performance and normalized earnings
• Forecast assumptions and scenario analysis
• Comparable company selection and multiple support
• Capital structure, liquidity, and distribution policy considerations
• Interest characteristics (control vs. minority) and transfer restrictions (as applicable)

Deliverables

• Written valuation report or memorandum tailored to the intended use
• Supporting models and sensitivity analyses
• Coordination with advisors (tax, legal, audit) as requested