The valuation of a limited partnership interest in an FLP requires the same diligence as the
appraisal of a minority interest in any other business enterprise. An experienced valuator
will apply the appropriate methodologies from the Asset, Income and Market Approaches to
derive a non-controlling, marketable value and then consider an adjustment or discount for the lack of marketability in order to increase the rate of return for the privately held interest. While there are various methodologies for calculating a value using data from alternative investments in capital markets, qualified valuators will consider the risk/reward relationship that investors use to measure the value of any investment given the specific facts and circumstances of the investment decision.
You can rely on an experienced Certified Valuation Analyst for valuations of FLPs, call one of our credentialed professionals at (615) 822-8342 or contact us via email.