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Using the Guideline Public Company Method to Value Smaller Companies


Business Valuation

 Using the Guideline Public Company Method to Value Smaller Companies
CPE Credit

Program Type: Recorded Webinar (Audio, PPT Presentation)
Program Level: Overview
Prerequisites: None
Advanced Preparation: None
Delivery Method: Group Internet-Based
CPE Credits: One (1) Hour
Fields of Study: Accounting
Item Number: 11OBVRW4596
Shipping Weight: 0lbs. 0oz.
Price: $80.00
Program Description

This webinar is an introduction to using the guideline public company (GPC) method in valuing small and medium-sized businesses (SMBs). While no one, to our knowledge, has done a survey of the percentage of professionals who use the GPC method in this context, we strongly believe that it is small. But, we know that it can be used in valuing SMBs because we do it all the time; the only exceptions are, of course, professional services firms.

The key is to create a large enough group of first-cut candidates that will lead to a robust final group, and then to size-adjust the valuation multiples so that coefficients of variation are all on the same playing field, whether the size measurement is from Morningstar/Ibbotson or the Duff & Phelps data set.

Learning Objectives

After completing this webinar, attendees will be able to:

- Explain the strengths and weaknesses of a GPC analysis in the context of the client company
- Identify sources of GPC candidates
- List the the steps in conducting a rigorous GPC analysis
- Differentiate between size-adjusted and non-size-adjusted valuation multiples
- Define the phrase "size-adjusted valuation multiple"

Who Should Attend

Experienced professionals who spend at least 50% of their billable hours providing business valuation services

Presenter(s)

Warren Miller, CFA, ASA, CPA
Mr. Warren has practiced business valuation full-time since 1993. He approaches valuation through the lens of strategic management, and emphasizes cause-and-effect relationships in outlier performance metrics. His first book, Value Maps: Valuation Tools That Unlock Business Wealth, came out in 2010 (http://bit.ly/jJFi6g); his second book, BVR's Guide to Wholesalers, came out in September 2011 (http://bit.ly/nIg44S). His work has appeared in Value Examiner, Business Valuation Review, CFA Magazine, and CPA Expert, among others.

Michael Mattson, MBA
Mr. Michael Mattson is a self-employed valuation professional. He received his MBA from the University of Chicago and previously worked with Ibbotson & Associates, PricewaterhouseCoopers, Lasalle Consulting Group, and McGraw-Hill/DRI before going out on his own. He wrote the chapter on guideline public company analysis for Jim Hitchner's book, Financial Valuation: Applications and Models. He was also the lead author of the seminal article, Adjusting Guideline Multiples for Size (Valuation Strategies, Sept.-Oct. 2001, pp. 24-29).