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:
- Find 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?
- 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.
- 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.
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:
||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:
||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).