There is little debate in the valuation profession that interests in closely held businesses are less marketable than shares in publicly traded companies or that minority interests are worth less than controlling interests. Despite these facts, discounts for lack of control and lack of marketability are one of the most contested aspects of any business…
Having engaged employees is essential to growing and improving your company. One of the most powerful ways to engage your employees is through effective internal communications, supported by today’s digital workplace capabilities. When companies rely on old-fashioned one-way, top-down internal communication methods, it prevents employees from participating in the company culture. The usual result is…
An ERISA (“Employee Retirement Income Security Act of 1974”) spending account, sometimes referred to as an ERISA budget account is an account used to pay for eligible plan expenses. (Click here for further information on eligible plan expenses.) ERISA spending accounts are typically seen in 401(k) plans. The spending accounts are funded from a portion…
Share Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers, (ASU 2014-09) establishes a new uniform revenue recognition model for substantially all industries. It is well known that its impact will vary across industry lines. Since ASU 2014-09 is a principles-based standard, it requires judgment and interpretation in its application. As we gradually absorb…
Do you know your breakeven point? Do you know your company’s breakeven point? Budgeting and forecasting cash flows with regards to general cash needs, mortgage servicing rights (MSRs) and warehouse lines have become increasingly important in the current market conditions. Keeping track of cash flows can help your company know if you are approaching your…
Through my many years consulting with middle market insurance entities, the question I am often asked is, “why do we need an internal audit function?” The belief is that internal audit is only required in larger, more complex entities and that the cost/benefit of an internal audit function would just not be there for them….
Myths About Startup Equity “Mr. Fuji as everyone knows, is a fountain of misinformation.” Quote from the late great Gorilla Monsoon a star from the World Wrestling Federation. Here in the New York Metro area, we get the chance to hold sessions with loads of startup companies. From incubators to accelerators to coworking spaces, we…
At a basic level, professional services firms produce a significant amount of content, similar to a manufacturing firm making widgets. Just like manufacturers, professional services firms are always looking for ways to improve the efficiency and quality of production. A well-designed intranet plays a major role in driving those improvements, as well as supporting your…
Estate Tax Planning for Modest Estates Now Focuses on Income Tax Savings In the not too distant past, there had been considerable uncertainty concerning federal estate and gift taxes. This uncertainty was put to rest a few years ago when the top federal estate and gift tax rate was set at 40% and the exemption…
Current State of Lease Accounting Standards For several years now, the accounting standard-setting body in the United States, the Financial Accounting Standards Board (FASB), and the international accounting standard-setting body, the International Accounting Standards Board (IASB), have been working on various convergence projects in an effort to achieve more uniform accounting standards worldwide. Among the…