Fiscal Valuation | Zoom Webinar | SPEAKER: Andrew Strickland

ABOUT THE TALK:  

Valuation decisions made by tax tribunals can have a significant impact on your business, and it's essential to stay informed of the latest developments. Our upcoming webinar will provide you with a comprehensive overview of recent valuation decisions, including those related to personal goodwill and the use of mathematical models to calculate a discount for lack of marketability.  Personal goodwill is a unique type of goodwill that arises when a business is valued based on the reputation and skills of the owner, rather than the business itself. We'll discuss the criteria that must be met for personal goodwill to be recognised, and how it is considered by the tax tribunals.  The use of mathematical models to calculate a discount for lack of marketability is becoming increasingly common. We'll explore the different models considered by the tribunals, and the factors that are taken into account when determining the discount.  Another important concept in business valuation is the "control premium." This is the additional value that is attributed to a controlling interest in a business. We'll discuss the surprising longevity of the control premium in business valuation and how the tribunals view this concept.  Finally, we'll delve into the discounts applied by the first Tier tribunal, for a control holding of 51% and an uninfluential minority holding of 9% in a sizeable food company.  Don't miss this opportunity to gain valuable insights and stay ahead of the game in the ever-evolving field of tax valuation. Join our upcoming webinar and arm yourself with the knowledge you need to make informed decisions for your business.  

ABOUT THE SPEAKER:  

Andrew Strickland is a Chartered Accountant with many years’ experience of corporate finance transactions and with a specialism as a business valuer. Andrew is a member of the Valuation Committee of the ICAEW and its subject matter expert. He is the main contributor to its quarterly newsletter and he presents regularly at its Conferences.He has delivered webinars to members of the Valuation and Forensic groups of the ICAEW on a regular basis over the last five years. He has also provided training to a District Society of the ICAEW on business valuation. Andrew has given presentations on business valuation to the Network of Independent Forensic Accountants in 2018 and 2021. I have given a presentation to the Society of Share and Business Valuers on mathematical models for calculating illiquidity. He was formerly a partner, and he is now a Consultant, to Scrutton Bland, undertaking various forms of specialist work, connected with business valuation, litigation support and corporate finance transactions, acting for both buyers and sellers, advising on value, on the main terms and on the tax implications of transactions. He has given presentations to the Business Valuation Section of the UK tax authorities on four occasions. The two most recent presentations related to the valuation of growth shares using the Black Scholes option pricing model and a review of Tax Tribunal valuation cases in 2012 to 2022. He has written articles for the magazine Taxation, including an article on the control premium and its use in fiscal valuation in January 2014, and a further article in March 2019 dealing with the valuation of growth shares. Andrew has also had several articles published in the US periodical Business Valuation Update: · the bid premium, the discount for lack of control and the heterogeneous investor population; · Case review involving US and UK valuation experts; · Levels of Value and the Market Participant Acquisition Premium; · The Cost Approach and International Valuation Standards; · The use of discounted cash flow techniques in UK business valuation; · The expert in Court in the UK Andrew Strickland is the chair of the education and training committee of the International Institute of Business Valuers and a member of its Board. He has delivered training on business valuation in Saudi Arabia and Europe. He is the author of the Business Valuation Manual as used by Taqeem, the Business valuation regulatory body in Saudi Arabia and by NAVS, the Serbian business valuation organisation. Andrew has also delivered training in business valuation to Anevar, the valuation organisation of Romania. He is working with the Worked Example Group which seeks to develop and agree worked examples which can provide guidance both to valuation practitioners and also HM Revenue and Customs. This relates to the valuation of Growth Shares, used as a form of employment related security and for inheritance tax planning. Andrew has given evidence in Court in respect of various matters on which he has been instructed as an expert witness. He has been instructed on several occasions to prepare valuations in conjunction with potential legal actions in respect of shareholder disputes within private companies, as well as instructed to act as a single joint expert on many occasions in respect of share valuations in connection with divorce.