Tolley's Practical Share and Business Valuation

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Commentary

Tolley’s Practical Share and Business Valuation – 2nd Edition

I wrote in the first edition that even a book as short as this one takes an enormous amount of time to produce. May I say, however, that this second edition was far from being but a moment’s work. In the four short years since the first edition was published there have been significant developments in valuation. The first tax case to be decided in the new Supreme Court concerned share valuation Gray’s Timber Products Limited v HMRC (2010) – although in essence it merely confirmed existing principles. When Jones v Kaney (2011) was decided by the same court it seemed that perhaps the expert’s long-standing immunity from civil action in respect of evidence they provided may have been compromised, although seemingly wiser counsel may have prevailed. At last there appears to be a set of worldwide valuation standards in place thanks to the efforts of the International Valuation Standards Council (IVSC), and the Royal Institution of Chartered Surveyors (RICS) is grasping the nettle to try to bring some order to share and intangible asset valuation in the UK and elsewhere. All these matters, to a greater or lesser extent, are reflected in the following pages.

For good or ill, the basic structure of the original work has been retained as it seems to work well. As the title indicates, it is intended to be a practical book and accordingly, I have included examples of actual situations, cases, and experiences that I have had the good fortune to encounter in what continues to be a varied and interesting career. It is often casually stated, but it certainly remains true in the author’s experience, that every case is different, but on the basis that truth is often stranger than fiction it would require a very fertile mind to fabricate some of the situations that arose in real life and which are reproduced here. I hope that these anecdotes help breathe at least a little life into the subject, but if they do not, the responsibility, just as is the case in relation to the opinions expressed, is mine and mine alone.

David Bowes
October 2012

Contributors

David Bowes Author