BV201-OOO - Introduction to Business Valuation - Market Approach
Category: Business Valuation
Continuing Education: 28.8
Registration
Please see the "Upcoming Classes" tab for class offerings and registration information.
Course Description
BV201 is the first course in the Principles of Valuation
(POV) course series. This course will introduce practitioners to the steps
necessary to complete a valuation assignment and will provide an overview of how
to apply the Market Approach
. More specifically, the course will provide a Guideline for Public
Company and Merger and Acquisition Methods. Additionally, the course will
review:
- Introduction to Business Valuation, Business Valuation
Theory and a general overview of the Market Approach;
- Defining the Appraisal Assignment;
- Data Gathering;
- Revenue Ruling 59-60;
- Engagement Assignments;
- Data, Company and Industry Analysis;
- Economic and Financial Statement Analysis;
- GPC Steps 1, 3, 4, 7, 8 and 9 Covering Guideline
Search Selection;
- Normalizing Financial Statements;
- Calculating Selecting Multiples;
- Adjusting and Applying Multiples and Reconciliation;
- The Merger and Acquisition Method; and
- Rules of Thumb and Other Market Methods.
Instructional Methods
Methods include lectures, discussions and
individual/group exercises and assignments. Students are required to bring a
laptop or mobile device to class as eHandouts will be provided throughout the
course.
Course Audience
BV201 is one of four Principles of Valuation
(POV) courses required for those seeking a credential with ASA. In
addition, this course is of interest to accountants, attorneys, business brokers, investment
bankers, Internal Revenue Service staff and the appraisal community at large who
are involved and/or interested in the valuation of
businesses.
NASBA and Continuing Professional Education (CPE) Credit
The American Society of Appraisers is registered with the National
Association of State Boards of Accountancy (NASBA) as a sponsor of continuing
professional education on the National Registry of CPE Sponsors. State
boards of accountancy have the final authority on the acceptance of individual
courses for CPE credit. Complaints regarding registered sponsors may be
submitted to the National Registry of CPE Sponsors through its website www.learningmarket.org.
CPE Credit: Up to thirty (30) CPE credits in Specialized
Knowledge
Program Level: Fundamental
Delivery Method: Only group-live
courses are approved for CPE
Prerequisites: None
Advanced Preparation:
None
Policies: ASA's
Refund and Cancellation Policy and ASA's Complaint Resolution Policy
No prerequisites for this course.
Agenda
This course will cover the following topics:
- Introduction
- Business Valuation Theory
- Defining the Appraisal Assignment
- Data Gathering
- General Economic and Political Analysis
- Industry Analysis
- Company Analysis
- Overview of the Market Approach
- GPC Step 1 - Guideline Search and Selection
- GPC Step 2 - Normalize Financial Statements
- GPC Steps 3 - 4 - Calculation and Selection of Multiples
- GPC Steps 5 - 6 - Compare and Adjust GPC Multiples
- GPC Steps 7 - 9 - Apply Multiples, Reconcile and Adjust
- The Merger and Acquisition Method
Rules of Thumb and Other Market
Methods
Learning Outcomes
Upon completion of this course, students will be able to:
- Cite the basic approaches and theories to business
valuation;
- Identify the relevant standards under which business
valuations are completed;
- Define an appraisal assignment;
- Gather useful data necessary to complete the
assignment;
- Analyze the impact of the general economic, political
and industry environments on the subject company (and in turn, value);
- Complete a company analysis of qualitative and
quantitative factors that impact value;
- Describe the premise of the Market Approach;
- Define both the Guideline Public Company Method and
the Merger and Acquisition Method;
- Assess the applicability of different Market Approach
methods to a specific assignment;
- Compare and adjust guideline public company
multiples;
- Apply the guideline public company and merger and
acquisition methods; and
- Reconcile to an indication of value.