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Business Valuation


Palantir

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What type of clients do business valuation analysts have and why do they need your services?  Eg. Is for MTM accounting or advisory, or something else?

 

I am familiar with the Big 4 groups and as I understand it the primary service is external audit support (i.e. testing reasonableness of client's MTM valuations).  Not as familiar with non-Big 4 groups.

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MTM is a part of it.  Larger funds typically have their larger Level 3 assets appraised by a third-party and reviewed by their own valuation teams.  There is also purchase accounting, where third-parties per form purchase price allocations and impairment tests.  Then there is derivative accounting (option and other derivative valuation). These 2 types of analyses are also reviewed by their valuation team.

 

There are tax valuations for gift and estate purposes.  There lending collateral valuations.  There are ESOP valuations for plan participants and there also valuations/fairness opinions for various corporate transactions.  The clients include refferal sources like lawyers and accountants.  Firms also directly engage firms but it is typically by refferal.

 

Packer

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