Subchapter S Conversions and Bankruptcy

Today let's talk about two more of 9 different scenarios to utilize a Business Valuation. 

The first is Subchapter S Conversions.  If one of your clients is planning to convert from "C" to "S" or "LLC" corporate status, they should have a valuation done as of the conversion date to determine the tax calculation for the IRS.

The second scenario is Bankruptcy, a legal admission of the inability of a company’s ability to meet and pay its liabilities.  Therefore knowing the bankruptcy value of their business and its assets is critical to the restructuring process and is influential to maintaining the confidence of your client’s creditors' committee or trustee.

In the next email I’ll touch on 2 more the 9 different scenarios where your clients may WANT or NEED a business valuation.  Call me with any questions toll free at 800-800-1776 x52.

Troy C. Patton, CPA - Patton Valuations