Reviewing Business Valuation Reports Prepared for Gift and Estate Tax Purposes

Family-owned companies often struggle with succession planning, as it is a complex issue that requires the assistance of legal counsel and other advisors. Coordinating with multiple advisors and considering various exit strategies can be overwhelming and time-consuming.

Join us for this presentation with advisors Matthew Hricko and Patrick Polomsky, who will provide helpful information for the audience to consider when reviewing the business valuation process. Attendees will gain an understanding of the typical business valuation engagement process and key objectives and learn at a high-level common business valuation fundamentals and approaches.

Attendees will enjoy an interactive discussion and key takeaways including:

• Engagement letter process
• Reviewing the engagement objectives
• Standards of Value
• Business Valuation Fundamentals
• Common Valuation Approaches
• Valuation Discounts and Premiums
• Other practical tips

Speaker Bios:

Matthew Hricko
Managing Director & Cleveland Regional Leader

Hricko is part of the ESOP & ERISA Advisory group where he leverages nearly two decades of financial advisory experience to provide investment banking and valuation consulting services to companies and trustees primarily for corporate finance and shareholder planning purposes. More specifically, Mr. Hricko has built expertise on projects involving interests held by Employee Stock Ownership Plans (“ESOPs”), including consulting and analyses related to formation, sell-side transaction advisory, determination of transaction fairness, and annual valuations. Having worked on approximately 1,000 projects in his career, he brings extensive public and private experience to the firm. Mr. Hricko’s role as Regional Leader prioritizes expanding the firm’s presence in the region by supporting Stoutís growing service offerings and assisting with recruiting individuals who share Stoutís core values.

In addition to his practical experience, Mr. Hricko has authored several articles and presented at professional conferences on a variety of ESOP-related topics, involving valuation, industry-specific matters and transaction structures. Prior to joining Stout, Mr. Hricko held positions in the strategic planning group at ArcelorMittal and in the treasury group at The Lubrizol Corporation.

Patrick M. Polomsky
Director, Valuation Advisory

Polomsky has extensive experience providing a broad range of business valuation and financial advisory services for public and private enterprises, with a primary focus within the firm’s Trust and Estate Valuation practice. His experiences cover a broad range of industries for a variety of purposes, including estate and gift taxation, income tax requirements, shareholder and succession planning, buy-sell agreement consulting, shareholder disputes, and other tax, corporate, and litigation related matters.

Mr. Polomsky specializes in fair market value engagements involving closely held business interests, FLP/FLLC valuation discount analyses, restricted stock and blockage discount opinions, personal goodwill valuations, preferred stock valuations, promissory note valuations, and Subchapter C to Subchapter S conversions. Mr. Polomsky also has experience with providing fairness and solvency opinions, as well as financial reporting valuation assignments (e.g., purchase price allocations and goodwill impairment testing).

His experience spans a diverse client base, from regional family-held and middle-market businesses to multi­ billion-dollar enterprises, private equity funds, law firms, accounting firms, and financial institutions.