Divorce Settlement

First Valuation Misses the Mark; Take Two

Lack of Support Equals Lack of Credibility


A couple was getting a divorce and needed a business valuation of the business that the husband owned as part of determining the equitable distribution of assets in the divorce settlement. They jointly hired a business valuation professional within a regional accounting firm to prepare the business valuation. When the valuation was completed, both parties had little to no confidence in the valuation. The business owner could not understand the valuation and how it was determined and the other spouse, an educated professional, was not satisfied with the final deliverable.

They sought another business valuation to be prepared and hired Lou Pereira, Principal of Merrimack Business Appraisers to prepare the business valuation.

Merrimack Business Appraisers’ Approach

Pereira followed his proven and detailed process to prepare the business valuation, adhering to USPAP* development and reporting standards; standards that were established to provide trust in business valuations.

The detailed and thorough valuation report presented what the valuation was as well as why and how the valuation was determined. The final valuation report is replicable, an important factor in providing a business valuation that will stand up to scrutiny.

Valuation Outcome

The business valuation provided by Pereira was detailed, thorough, and objective (~100 pages) and clearly presented for all parties a valuation that was understandable and acceptable. The detail connected the dots, presenting supporting data, giving both parties confidence and trust in the valuation. This contrasted with the expensive and brief PowerPoint deliverable that had left both parties questioning the valuation number and how and why it was determined.

When Values Matter.

* The Uniform Standards of Professional Appraisal Practice (USPAP) are promulgated by the Appraisal Standards Board of the Appraisal Foundation, which is authorized by Congress as the Source of Appraisal Standards and Appraiser Qualifications. USPAP represents the generally accepted and recognized standards of appraisal practice in the United States.


Why Merrimack Business Appraisers?