 Valuations and LitigationCreating a Vital Measure of ValueOver one third of business owners have no idea of the value of their businesses, yet ownership interests in privately-held companies often represent a majority portion of one's estate or personal investment portfolio. The value, or worth, of an interest in a privately held company, as opposed to stock in a public company, is usually unknown because there is no active market to sell or trade the interest from which to ascertain or approximate value. Valuations are often required to calculate estate tax upon death, divide family assets in a marital dissolution, or negotiate value in a purchase, sale or merger of a business entity. Other reasons why someone with an interest in a privately held company might require a business valuation include:
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