In Part 1 of this series, we covered several early steps in preparing a business for sale. These included articulating your goals, organizing financial records, reviewing cash flow, and reducing dependence on you, the owner....
Selling a business takes more than finding a buyer. The preparation often begins years before a transaction....
We are pleased to announce that KRS CPAs, LLC has joined the BDO Alliance USA, a nationwide association of independently owned local and regional accounting, consulting, and service firms with similar client service goals....
This overview can help you learn more about IRS Revenue Ruling 59-60, which is regarded as the foundation of modern business valuation. The ruling outlines and reviews the approach, methods and factors to be considered in valuing the shares of the capital stock of closely...
Your business represents a big part of your wealth. Here's why you need to protect it with a succession plan, so that you can ensure the business retains its value after you're gone. ...
I frequently receive requests to quickly value a business by applying a “rule of thumb”, that is, application of a simple formula to the gross or net income of a business to determine its value. That's a bad idea - this post explains why....
On November 25, 2018, the IRS issued proposed regulations, which indicate that gifts made before January 1, 2026, will not be clawed back to the estates of decedents dying after December 31, 2025. The issuance of these proposed regulations strengthens a tremendous opportunity for the...
Buy-sell agreements are among the most important agreements entered into by business co-owners. Notwithstanding the importance, many businesses do not have buy-sell agreements in place, and for many that do, the agreements are ambiguous and outdated. This post shares crucial agreement provisions and discusses why...
Do the valuation provisions of your shareholder or partnership agreement specify a standard of value? If they do, is the standard of value “fair value”, “fair market value”, or something else? If the standard of value is not fair value or fair market...
We are frequently approached by people in the process of purchasing a business and request our advice with transaction structure and tax planning. Although the buyer has not conducted any due diligence or consulted a professional regarding the value of the business, negotiations have...
