Minority and Illiquidity Discounts

Webinar Overview

Understanding how minority and illiquidity discounts impact the valuation of private company ownership is essential for attorneys advising clients on business transactions, estate planning, litigation, and shareholder agreements. These discounts can significantly affect the price of a business interest, influencing negotiations, tax planning, and dispute resolution.

This episode provides attorneys with the knowledge and tools needed to assess, challenge, or justify valuation discounts in legal and financial contexts. Attorneys will learn how to apply valuation methodologies, advocate for fair valuations in negotiations, and protect their clients’ interests in transactions or disputes.

Learning Objectives:

• Understand the concepts of minority discounts and illiquidity discounts in the context of asset valuation
• Learn how the liquidity of an asset affects its valuation, particularly in comparing public and private company ownership interests
• Explore the reasons why partial ownership in a private company may be valued less than a proportional share of the total company
• Identify the methodologies used to assess and apply minority and illiquidity discounts in valuations
• Recognize the implications of these discounts on negotiations and transactions involving private company interests
• Gain insights into how to communicate and justify the application of these discounts during the valuation process

Other Webinars in this Series

• Valuing Your Brand and Other “Soft” Assets (Premiered on June 26, 2025)
• Selecting the Right Valuation Expert (Premiered on May 12, 2025)
• Valuing Lost Profits for Litigation Purposes (Premiered on March 20, 2025)
• What’s it Worth? Valuing a Business for Sale (Premiered on February 20, 2025)
• What’s it Worth? Valuing a Business for Sale (Premiered on February 20, 2024)