The firm has performed numerous business valuations in matters including the following:
1. Determining the marital property value for divorce cases
2. Partnership disputes
3. Family disputes
4. Purchase of a business
5. Value of a dissolved or destroyed business for litigation purposes
Mr. Chakonis, a member of the institute of business appraisers, has given seminars to other accountants and CPA's regarding business valuation methods and calculations. He also has experience testifying in court as an expert witness regarding the methodologies used in arriving at a business valuation.
Quite often there is a question as to whether or not the business owner is reporting all of the income. In some cases the income is not reported to minimize the tax liability but in other cases it may not be reported because of a divorce situation or partner dispute.
We previously performed a valuation in which a silent partner in a restaurant business requested to be bought out. The problem was the partner managing the restaurant was reporting consistent losses and insisted the business had no value. The books and records were fictitiously prepared to document the losses. However, the deceitful partner did not expect us to analyze linen and laundry invoices which provided us with an accounting of the number of tables used each night reflecting significantly more income than reported. The case was quickly settled once the unreported income was discovered.
In another case, a husband and wife were going through a divorce and the wife accused the husband of not reporting all of the income from the business. On the surface, the books and records appeared to properly record all the income. However, when we requested the invoices to purchase stationary, we noted that the business had two sets of pre-numbered invoices. The husband was unable to account for one of the sets of invoices and quickly thereafter decided to settle the case.