LITIGATION VALUATION & FINANCIAL ANALYSIS
Independent Business Valuation & Economic Damages Analysis for Litigation
When business value or financial performance is disputed, the quality of the underlying financial analysis matters. Business Valuation Advisors (BVA) provides independent business valuations, appraisal reviews, lost-profit analysis, and economic-damages assessments for attorneys and business owners involved in shareholder disputes, divorce, commercial litigation, and contested ownership matters.
Led by Joshua Himan, CVA®, BCA®, FMVA®, with more than 15 years of private-company valuation experience, BVA develops documented financial analyses and clearly explained conclusions supported by recognized valuation methodologies, financial evidence, and professional judgment.
We work with counsel to establish the appropriate valuation framework, reporting requirements, and scope of analysis—while maintaining independence and objectivity throughout the engagement.
- Business & Ownership Disputes
- Lost Profits & Economic Damages
- Appraisal Review & Rebuttal
MATTERS WE SUPPORT
Independent Valuation & Financial Analysis for Business Disputes
ILLUSTRATIVE LITIGATION CASE STUDY
From Disputed Earnings to Shareholder Buyout Value
In a hypothetical shareholder dispute involving Eastbridge Commercial Services, Inc., the value of a 30% ownership interest depended on more than applying an earnings multiple.
Business Valuation Advisors reconstructed historical earnings, evaluated normalizing adjustments, modeled sustainable cash flow, and examined how disputed financial assumptions affected the proposed buyout price.
The financial analysis revealed:
Earnings normalization: Reported EBITDA of $607,000 increased to $817,000 after $210,000 in selected net adjustments. Another $60,000 in contested expenses was excluded from the base case.
Business valuation: A five-year discounted cash flow analysis indicated approximately $3.96 million in operating enterprise value and $3.37 million in controlling equity value.
Shareholder buyout: Applying the hypothetical shareholder agreement's undiscounted 30% pro-rata formula produced an illustrative purchase price of approximately $1.01 million.
Why the disputed assumptions matter
Accepting both challenged expense adjustments increased the modeled 30% price to approximately $1.124 million. Alternatively, assuming a 60-day operating-cash reserve while excluding those adjustments reduced it to approximately $877,000.
These scenarios demonstrate how differences in financial evidence, normalization assumptions, and liquidity requirements can materially affect a proposed shareholder buyout.
BVA's role is to quantify and explain those financial consequences independently—not determine which party should prevail.
This case study is entirely fictional and intended for educational purposes. The contractual buyout calculation is not an independent minority-interest appraisal, statutory fair-value determination, economic-damages award, or court conclusion.
HOW BVA APPROACHES CONTESTED FINANCIAL MATTERS
Financial Analysis Designed to Be Explained, Examined & Supported
BVA applies a structured, evidence-focused approach:
Assignment Definition: Establish the valuation date, subject interest, applicable standard of value, intended users, and relevant legal instructions.
Financial Reconstruction: Analyze historical statements, tax returns, accounting records, owner compensation, related-party transactions, and significant discrepancies.
Earnings Normalization: Separate recurring operating performance from nonrecurring, discretionary, disputed, or unsupported adjustments.
Valuation Methodology: Evaluate applicable income, market, and asset-based methods and reconcile the most reliable indications.
Disputed-Assumption Analysis: Quantify how contested expenses, capitalization assumptions, working capital, or ownership provisions affect value.
Documented Deliverables: Present valuation conclusions, financial schedules, sources, assumptions, sensitivities, and appropriate limitations in a professional report.
Our objective is an independent financial analysis that counsel can evaluate and understand—not a predetermined conclusion designed to support one party's position.
Professional Credentials Across the BVA Team
CREDENTIALED LITIGATION VALUATION & FINANCIAL ANALYSIS EXPERTISE
Independent Valuation Expertise for Contested Business Matters
Business Valuation Advisors, Inc. is led by Joshua Himan, CVA®, BCA®, FMVA®, a credentialed valuation professional with more than 15 years of experience analyzing privately held businesses, ownership interests, and complex financial transactions.
Joshua holds a Master of Science in Applied Economics from Johns Hopkins University and a Master of Science in Finance from The George Washington University. His professional experience includes shareholder and partner disputes, contested ownership valuations, financial reconstruction, earnings normalization, economic damages analysis, and independent appraisal review.
Financial Analysis Grounded in Evidence
In contested matters, a valuation conclusion must be supported by more than financial calculations. BVA evaluates underlying financial records, normalizing adjustments, valuation methodologies, risk assumptions, and alternative factual scenarios to develop independent, well-documented conclusions.
Our reports are designed to help attorneys and other intended users understand not only the indicated value, but also how the conclusion was developed, what evidence supports it, and how disputed assumptions may affect the result.
BVA provides independent valuation reports, financial consulting, and appraisal review. Expert testimony and deposition support are considered separately for selected engagements.
CVA® | BCA® | FMVA®
15+ Years of Experience | M.S. Applied Economics | M.S. Finance
Joshua Himan's Credentials & Experience Client Reviews & Selected Engagements
Frequently Asked Questions About Litigation Valuation
BVA provides business valuation and financial analysis for shareholder and partner disputes, divorce and marital dissolution, buy-sell and ownership disputes, lost profits and economic damages matters, appraisal review and rebuttal, and other contested financial matters. The specific scope is tailored to the facts, available evidence, intended use, and needs of counsel or the client.
BVA analyzes the financial and operating evidence relevant to the claimed loss, including historical results, expected performance, causation assumptions provided by counsel, mitigation, incremental costs, and the appropriate measurement period. The analysis is designed to separate the financial calculation from legal conclusions and to document the assumptions and evidence supporting the damages model.
The information required depends on the matter, but engagements commonly begin with historical financial statements, tax returns, general-ledger detail, ownership records, relevant agreements, prior valuation reports, transaction documents, and materials related to the disputed issues. BVA provides a focused information request after the scope is established so that counsel and the client know what is needed and why.
The appropriate work product depends on the assignment. BVA can prepare a detailed business valuation report with a conclusion of value, a focused appraisal review or rebuttal memorandum, an economic damages analysis, or other attorney-facing financial analysis. The scope, intended users, applicable professional standards, and anticipated use of the work are established at the beginning of the engagement.
BVA approaches litigation assignments as an independent valuation and financial analysis professional. Conclusions are developed from the available evidence, applicable valuation methods, documented assumptions, and professional judgment rather than from a desired litigation outcome. Engagement fees are not contingent on the valuation conclusion, settlement, or result of the dispute.
Yes, depending on the available evidence. BVA can analyze and reconcile financial statements, tax returns, general-ledger detail, bank and transaction records, and other supporting documentation to identify inconsistencies and develop a supportable financial picture. Any material gaps, assumptions, management representations, or limitations are clearly identified rather than treated as verified facts.
The appropriate standard of value depends on the purpose of the valuation, governing agreements, applicable law, and the requirements of the specific matter. Depending on the assignment, the standard may be fair market value, fair value, or another defined standard. BVA works with counsel to identify the applicable valuation framework and clearly states the selected standard, premise of value, and related assumptions in the report.
Yes. Litigation matters often require valuation as of a date in the past. BVA can perform retrospective valuations using financial, economic, industry, transaction, and other information that was known or reasonably knowable as of the selected valuation date. Subsequent events may be considered only when appropriate and are clearly distinguished from valuation-date information.
Yes. BVA can evaluate an opposing valuation report, including the financial data relied upon, normalization adjustments, valuation methods, market evidence, assumptions, discounts or premiums, and reconciliation of value. When appropriate, BVA can prepare a focused appraisal review, rebuttal analysis, or attorney-facing memorandum identifying areas of agreement, disagreement, and potential analytical weakness.
Yes, when appropriate. BVA can provide attorney-facing consulting, deposition and trial preparation, and expert witness services for selected matters. Whether testimony is appropriate depends on the subject matter, available evidence, jurisdictional requirements, timing, and scope of the engagement.
Timing depends on the complexity of the matter, the completeness of the financial records, the number of entities or ownership interests involved, and whether rebuttal, damages, or testimony support is required. Once the scope and available information are reviewed, BVA can provide a realistic timeline for the specific engagement.
Yes. BVA frequently works with counsel to define the valuation or financial issues, identify needed documents, evaluate opposing analyses, develop supporting schedules, and prepare for deposition, mediation, settlement discussions, or trial when appropriate. The engagement structure and communications are coordinated with counsel based on the needs and procedural posture of the matter.
The first step is a confidential consultation to discuss the nature of the dispute, the valuation or financial issues involved, the parties and intended users, key deadlines, and the information currently available. BVA can then determine the appropriate scope, identify any conflicts or limitations, and provide an engagement letter and focused document request.
BVA valuation engagements are developed in accordance with the professional standards applicable to the assignment, including NACVA Professional Standards for business valuation engagements when applicable. The engagement scope, standard and premise of value, valuation date, intended users, sources relied upon, assumptions, limitations, and conclusion are documented so the analysis can be understood and evaluated by counsel and other intended users.
Yes. BVA can value partial ownership interests when the assignment involves a shareholder dispute, partner buyout, divorce, buy-sell matter, or other contested ownership issue. The analysis considers the rights associated with the interest and, when appropriate under the applicable standard of value and legal framework, issues such as control, marketability, transfer restrictions, and other ownership-level factors.
Yes, when appropriate. BVA can provide valuation and financial analysis to help counsel and the parties understand the economic issues relevant to mediation, settlement discussions, or negotiated resolution. The role is analytical rather than legal, and the scope can include valuation ranges, scenario analysis, review of disputed assumptions, and explanation of the financial consequences of alternative positions.
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