Description
This continuing education session provides a structured overview of business valuation concepts as they apply in divorce and family law matters, with a focus on practical application for financial professionals. The program reviews the three primary valuation approaches, income, market, and asset-based and explains how each is applied to closely held businesses in the marital dissolution context. Participants will examine key assumptions embedded in valuation analyses, including normalization adjustments, risk assessments, discount and capitalization rates, and the treatment of control and marketability. The course also addresses critical considerations such as valuation dates, distinctions between enterprise and personal goodwill, and common adjustments that can materially affect value conclusions. Instruction includes discussion of how valuation outcomes influence equitable distribution, cash flow available for support, and overall settlement strategy. Designed for Certified Divorce Financial Analysts® and other financial professionals, the session emphasizes collaboration with valuation experts, issue-spotting, and effective interpretation of valuation reports to support informed financial decision-making. The content is educational in nature, non-promotional, and aligned with CFP Board CE standards by enhancing professional competency in financial planning as it relates to divorce and closely held business interests.
Learning Objectives
This continuing education session provides a structured, practice-oriented overview of business valuation concepts as they apply in divorce and family law matters. The program is designed to enhance professional competency by equipping participants with practical knowledge that can be applied in financial planning engagements involving closely held businesses. Upon completion of this program, participants will be able to: Describe the three primary valuation approaches, income, market, and asset-based and explain how each is applied to closely held businesses in the divorce context. Identify and evaluate key valuation assumptions, including normalization adjustments, risk assessments, discount and capitalization rates, and discounts for control and marketability. Differentiate between enterprise goodwill and personal goodwill and analyze how the treatment of goodwill affects marital value and equitable distribution. Explain the significance of valuation dates and assess how timing differences may impact property division and support calculations. Interpret valuation conclusions and analyze their impact on equitable distribution, cash flow available for support, and settlement strategy. Apply effective collaboration strategies when working with valuation experts, including issue-spotting and critical review of valuation reports. The content is educational in nature, non-promotional, and aligned with CFP Board CE standards. It supports the development of professional competence by providing measurable learning outcomes, practical application, and enhanced analytical skills relevant to financial planning in divorce cases involving closely held business interests.
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