Finance and property service valuations

Management Rights, Brokers and Real Estate Agents

Like professional practices, management rights, brokers and real estate agents often have little or no productive tangible asset base. What they do often have however is a book of business, for example, a loan book or rent roll. This intangible asset can be potentially valued in its own right and this can be a key area of dispute, see Nettler and Nettler (2007).

Another potentially contentious component of value is the market salary for the owner operator; see court cases Corbon & Klousner (2015) and Scott & Scott (2006).

A key valuation component is the likelihood the clients will stay with the business, which in turn depends on factors such as the length of the client relationships and the client agreements in place.

Experience

Lotus Amity values Management Rights, Brokers and Real Estate Agenets, examples previous engagements include the following:

• Valuation of a group of mortgage broking businesses. The valuation report was prepared for bank finance.
• Valuation of a sole beneficiary interest in a trust providing property finance, business finance and insurance broker services. Single expert witness appointment on behalf of both parties in family dispute
• Valuation of a group of four real estate offices. The valuation expert report was prepared for the Family Court in a matrimonial matter.
• Valuation of an investment broking business. The valuation report was prepared for bank finance.