Valuation Specialist

Valuation of Businesses, Partnerships & Other Asset Companies and Real Estate

Persuasive valuation reports provide evidence for value you can rely on. The problem is that every provider of valuation reports can say the same thing. How can you know what is persuasive and what is not? On the one hand, it seems simple; read How Valuation Works. What is the story that needs to be told? The story is what wins. Of course, the story needs to be founded on a deep understanding of valuation process, and must connect directly with the company and/or assets being valued.

You can rely on highly credible valuations provided through Primus Valuations® to persuade and to prove value. Whether for a single property or mid-size business or for a nationwide portfolio, Primus and its team of national valuation experts produces results that you expect and deserve. Along with general business valuation, we emphasize specific areas of expertise including property and asset valuation, partnership valuation, and real estate appraisal. You can get an idea of our approach in many areas by reviewing various papers and presentations shown below.

The Three Keys

Primus Valuations® uses the exclusive “Three Keys” to deliver valuation reports that present evidence for value and persuade the reader. The Keys were developed over many years and are based in large part on the pleas of IRS Valuers, Managers and Tax Court Judges. The process is straightforward, and has produced outstanding results over the past 17 years.

These Keys can be used by clients to appraise valuation reports generally; see “Reappraising the Appraisal Process: A Guide to Successful Results. The Keys are stated briefly as follows:

  1. The Three Keys to Valuation SuccessFind the facts. The report identifies the facts and circumstances of the case. These are what a hypothetical buyer of your interest in the partnership would want to know. It is about your interest in your partnership and a specific property. What would you need to know if you were buying in?
  2. Connect the dots. The appraisal connects these facts with market evidence. This is the complicated part of the appraisal, but it is crucial that it be understandable.
  3. Tell the story. The appraisal report tells a compelling and persuasive story that explains why the buyer would pay the concluded price, and why the seller of the interest would part with it.  This is the most important key. If the story it isn’t clear to you, how is it ever going to convince IRS? Or the Court? Or anyone else?

The Keys are described in detail in Valuation Wake-Up: The Three Keys. You can also get a fact list for asset holding companies in Getting the Facts: A 32 Point Checklist for Fractional Interest Valuations.

Business Valuation

Property & Other Asset Companies

Real Estate Appraisal

Primus and its affiliates provide business valuation and consulting services for a wide range of closely held, mid-sized businesses:

  • Going concerns and liquidations.
  • Assets as part of a going concern; see Recycling Assets Worth Lots More than you Might Think.
  • Shareholder interests subject to a wide variety of marketability and control-related impairments.
  • Marketability/Liquidation impairment that may result from blockage.
  • Rule 144 or other restrictions.
  • Purchase price allocation.
  • Business Damages and lost profits; see Litigation Support.
Property and asset companies are a special case of business valuation, as they are highly dependent on the nature and value of the assets held. Valuation requires special expertise, understanding both the assets and the structure, organization and operation of the business. We provide asset company valuation services for:

  • S Corp and other asset holding companies.
  • Development companies and partnerships.
  • Partnerships and limited liability companies; see Minority Interest Discounts: A Quantitative Approach for Real Estate Limited Partnerships.
  • Tiered ownership structures; see A Methodology for Valuing Tiered Entities.
  • Direct ownership/common tenancy interests; see Bridging the Gap: Marketability Discounts for Real Estate Interests.
  • Watch: Winning Valuation Saves Ranch. A very satisfying success story about good lawyering and a winning valuation that is, indeed, saving the ranch for future generations.
Real estate appraisals can be of single properties or portfolios. They can stand alone or be integrated into partnership or business appraisals (increasing clarity and reducing your cost).

  • Special-use properties; where the going concern or business valuation component is integral to the value of the real estate asset; see Recycling Assets Worth Lots More than you Might Think.
  • Commercial and industrial properties.
  • Residential properties held by families (estate & gift) or by partnerships.
  • Mobile home parks held by partnerships or directly as common tenants.
  • Land held as part of a development enterprise.