The purpose of this guide is to provide guidance to privately held enterprises at all stages of development regarding the valuation of, and disclosures related to, their equity securities issued as compensation. This guide is not intended to focus on estimating the value of an enterprise as a whole but, rather, the fair value of individual common shares or other equity securities that constitute a minority of the outstanding securities. Such shares are collectively referred to hereinafter as privately issued securities. The guidance is intended to provide assistance to management and boards of directors of enterprises that issue such securities; valuation specialists; auditors; and other interested parties, such as creditors.
Access the Valuation of Privately-Held-Company Equity Securities Issued as Compensation practice guide in the FVS Online Professional Library.
Chapter 1 – Concepts of Fair Value of Equity Securities
Chapter 2 – Stages of Enterprise Development
Chapter 3 – Factors to be Considered in Performing a Valuation
Chapter 4 – Overview of Valuation Approaches
Chapter 5 – Valuation of Equity Securities in Simple Capital Structures
Chapter 6 – Valuation of Equity Securities in Complex Capital Structures
Chapter 7 – Control and Marketability
Chapter 8 – Inferring Value From Transactions in a Private Company's Securities
Chapter 9 – Relationship Between Fair Value and Stages of Enterprise Development
Chapter 10 – Valuation Implications of a Planned Initial Public Offering
Chapter 11 – Reliability of the Valuation
Chapter 12 – Common Valuation Questions
Chapter 13 – Elements and Attributes of a Valuation Report
Chapter 14 – Accounting and Disclosures
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