ROCKPORT VALUATION
We customize and deliver valuations of businesses and business interests for a variety of purposes including: Financial Reporting; Tax Compliance; Management Planning; Dispute and Litigation; and Investment Analysis. We develop valuation reports and analyses that are objective, supportable and transparent for the client, advisors, auditors, attorneys and/or other stakeholders. ROCKPORT VALUATION market offerings are summarized below.
FINANCIAL REPORTING
Valuations for U.S. financial reporting are governed by standards issued by the Financial Accounting Standards Board (FASB) in the Accounting Standards Codification (ASC). Company auditors follow audit standards that direct their testing of valuation methods, models, inputs and data. Rockport understands these requirements and develops valuations for financial reporting standards such as: ASC 350 (goodwill impairment analysis); ASC 805 (purchase price allocations); and ASC 820 (portfolio company investments). Often, we are asked by our clients to lead the process to communicate directly with the auditor and their internal valuation specialist to ensure that we resolve any differences of opinion in an efficient manner to finalize the valuation process.
ASC 350 requires companies to perform an annual test to determine if goodwill of its reporting units is impaired. We prepare the valuation of equity that is used the for impairment test (step 1), and support the client through the valuation process (step 2) if the test indicates that goodwill is impaired.
ASC 805 requires companies to estimate and report the fair value of the assets acquired and liabilities assumed in a business combination, which is often referred to as a purchase price allocation. The valuation process for a purchase price allocation is complex: we assist the client with an analysis of transaction consideration, opening balance sheet, and acquired company projections. We apply best practices in our valuation modeling and assessment of acquired tangible and intangible assets.
ASC 820 requires asset management firms such as private equity and hedge funds to estimate and report the fair value their investments. We work closely with the client to understand the investment, analyze relevant market data, and then develop an independent valuation that is supportable and reasonable.
TAX COMPLIANCE
DISPUTE AND LITIGATION
INVESTMENT ANALYSIS