Description
Minority interest valuation is the process of determining the fair market value of a minority ownership stake or equity interest in a business or entity. This type of valuation is typically conducted when an individual or entity holds less than a 50% ownership stake in a company, meaning they have a minority interest. The purpose of minority interest valuation is to assess the monetary value of this minority ownership position, taking into account various factors and considerations. This valuation is often performed by financial experts, appraisers, or valuation professionals and is used in various contexts, including legal disputes, estate planning, mergers and acquisitions, and financial reporting.
Stimuli
-
Estate planning
-
Gift tax purposes
-
Divorce proceedings
-
Shareholder dispute
-
M&A’S
-
Financial Reporting
-
Taxation and Compliance
-
Business Dissolution
-
Investor Exit
-
Litigation Support
-
Ownership Restructuring
-
Investor Relations
Benefits
Risk Mitigation: Accurate valuations help mitigate risks associated with misunderstandings or disputes related to the value of minority interests.