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Why Us

When companies require an objective and independent assessment of value, they look to Armanino.

Our finance and accounting expertise, combined with our use and development of sophisticated valuation methodologies, fulfills even the most complex financial reporting and tax requirements. We constantly monitor changing regulations from the Financial Accounting Standards Board as they develop implementation guidance and new financial reporting rules with valuation implications. Armanino performs tax valuations and related consulting in accordance with the regulations and guidance established by the Internal Revenue Service and other taxing authorities.

Armanino's specialty is valuing technology businesses and technology-centric assets. To determine value, our professionals analyze each client’s business and financial plans, history, projections, and comparable companies and transactions. We have been engaged by more than 1,000 clients to value securities and assets for tax, financial reporting, business combinations, and litigation purposes. Our valuation opinions are fully defensible and documented to withstand scrutiny from the IRS, SEC, financial auditors, or other regulatory bodies.

Stock Option Pricing

Under IRC 409A, privately owned companies are required to establish that stock options are not being issued below fair market value at the time granted—a potential tax liability for both the company and the employee. Companies either considering or currently issuing stock options or SARS should have an independent IRC 409A valuation—no less frequently than once every 12 months or more frequently if their Board believes there has been a positive change in the business which could result in an increase in the implied market value of the security subject to the grant.

ASC 718 [previously SFAS No. 123(R)] mandates that companies must expense stock options and other forms of equity based employee compensation. Among other things, they must provide the basis for the value of the equity (often an independent valuation), track all equity compensation activity, calculate fair value, and adjust financial statements accordingly. Depending on the number of employees receiving awards, the frequency of grants, and the variability of the terms, ongoing administration and compliance can pose a significant burden. Armanino has in-depth expertise in determining the underlying security’s value as well as performing the ASC 718 calculations and is ready to help clients properly expense their option charges.

  • Our reports meet the standards required in ASC 718 (formerly FASB 123(R)) and IRC Section 409(A)
  • Armanino regularly values companies with complex capital structures
  • We work with company management as well as outside auditors to ensure that our reports are routinely accepted

Transactional Based Valuations

ASC 805 specifies that the accounting for an acquisition must identify the fair value of all assets acquired and liabilities assumed as of their acquisition date. ASC 350 requires companies to use a process to measure the impairment of goodwill. Independent valuations for purchase price allocation insure compliance with these ASC rules when you acquire a business or assets.

Estate & Gift Tax Valuations

We assist taxpayers and their advisors with planning for estate and gift taxes. Our gift and estate tax-related services include business enterprise valuations, capital stock valuations, tangible-asset valuations and intangible-asset valuations. We maintain compliance with leading gift tax codes, providing qualified appraisals by qualified appraisers. We are skilled in determining appropriate minority and marketability discounts for partial stock interests, insuring accurate valuation of the interests.

Fair Value Valuations

ASC 815, Accounting for Derivative Instruments and Hedging Activities, provides guidance on the specific accounting treatment of a multitude of derivative instruments, including convertible debt or warrants. The valuation of these derivative instruments can be complex and often requires advanced valuation techniques to calculate their embedded features. Armanino has experience in the modeling of complex securities and can provide an independent valuation in support of financial reporting requirements.

Goodwill Impairment Testing

  • We perform impairment tests in compliance with ASC 350 (formerly FASB 142)

Mergers & Acquisitions

Sell side M&A advisory. We help companies pursuing a sale or merger involving all or part of their business, as well as organizations interested in partial divestitures of a division or assets. We provide end-to-end strategic advisory, introducing the company to potential acquirers and managing a rigorous process to optimize competition, achieve strategic valuations, and successfully close transactions.

Buy side M&A advisory. Armanino represents clients pursuing strategic acquisitions, such as asset purchases, mergers, and intellectual property procurements. Our financial advisory includes market analyses, target identification, financial modeling, deal negotiations, preliminary due diligence, and final negotiation of the definitive agreements.


How-to Guide: Walking your Board through a 409A Valuation of Total Equity

To avoid expensive tax liability for your privately-funded company, and more importantly, your employees, ensure your Board of Directors has the tools to properly understand the valuation process.

As Easy as 1, 2, 3: M&A Goes Smoother with a Financial Expert on Your Side

Mergers and acquisitions (M&A) transactions can be daunting endeavors for both buyers and sellers.

What’s your Company Worth? A Business Valuation Can Achieve Many Objectives

There are a myriad of reasons to conduct a business valuation. The main reason is in preparation for selling your manufacturing or distribution business.

IPO Readiness: Why Now?

Getting your company ready for an IPO isn't easy, nor is it cheap; in fact, it's disruptive and takes people out of their comfort zones. But that's exactly why you should consider preparing for the IPO well in advance ...

“Fair Value” in a Troubled Economy

There’s no question that the struggling economy has had a negative impact on the value of many businesses and investments. But it also influences the business valuation process itself.

Planning on M&A Activity

What you need to know now to help guide you through FAS 141(R), 142 and 144 as well as other best practices.

No public company wants to face the time and expense, as well as the negative investor and ...

Avoid Noncompliance Penalty; What You Need to Know About IRC Section 409A

Enron executives accelerated the payments under their deferred compensation plans in order to access the money before the company went bankrupt. Internal Revenue Code Section 409A was enacted, in part, in res ...

FASB Expands Fair Value Disclosures

On January 21, 2010, FASB issued Accounting Standards Update (ASU) 2010-06, Improving Disclosures about Fair Value Measurements. The ASU reports on new disclosure requirements — and clarifications of existing re ...

Fair Value Now A Bit More Fair

FAS 159 allows companies to reduce volatility offerings

In February 2007 FAS 159, "The Fair Value Option of Financial Assets and Financial Liabilities" standard was released, and with it a way to account for f ...