What is equity in business? It is a question whose answer every small business owner would do well to understand. 77% of small businesses rely on personal savings to get off the ground, and more often than not, those personal savings are life’s savings.
When everything you own is on the line, equity must be a term you become intimately
In recent years, our team has seen an increasing number of valuation requests from general partners (“GPs”) of venture capital and private equity funds related to carried interest. For those unfamiliar, the carried interest is also referred to as “the profits interest” because it entitles the GP to a portion of the profits earned by the fund. There are
Unlike public equity and fixed income fund managers, venture capital and private equity funds lack an active exchange to price the changing value of their investments. Instead, they perform valuations – oftentimes on a quarterly basis – so they can report updated values to their investors.
This year, the disruption caused by the COVID-19 pandemic presented new challenges for
Executive Summary
Recent estate planning articles are full of speculation about potential tax changes related to the upcoming 2020 US election. Here is the one consensus piece of advice observed from numerous articles by reputable tax planners and professional advisors:
Making gifts of appreciating property, such as privately
What is the real cost of a 409A valuation?
As startup-focused valuation providers, we often talk to founders and CFOs of early-stage companies who suggest a couple thousand dollars is sufficient to obtain a 409A valuation. While it may be true that’s a price quote from a low-cost automated provider, it’s rarely the real economic cost for the startup
Executive Summary
Executive Summary
Introduction
The business world is going through unprecedented upheaval. The COVID-19 pandemic has
Executive Summary
An In-Depth Interview with Redwood Valuation Director Tim Montgomery
Redwood Valuation’s Director Tim Montgomery recently sat down with the founder of WatchPitch, Trey Scott, to provide a behind-the-scenes look on what goes into the valuation of a venture-backed company. Tim discusses the numbers that matter – revenue growth, funding, cash runway – and also the significantly more subjective
The following interview was conducted with Redwood Valuation’s Tim Iversen, Director (ASA). Tim has nearly 20 years of experience in business valuation during which time he has completed over 700 valuations for both public and private companies.
It is the process of assigning a fair value to all the assets acquired and liabilities