Publications
Publications
- February 2009 (Revised June 2010)
- HBS Case Collection
Note on Valuing Control and Liquidity in Family and Closely Held Firms
Abstract
Most companies around the world are family controlled and/or closely held. The need to value these companies routinely arises in practice for a variety of reasons, e.g., to buy out minority shareholders; for gift and estate tax purposes; to tie executive compensation to firm performance; to raise outside capital; or to sell the company outright. However, these companies present certain unique characteristics that can make standard valuation methods inappropriate for them.
Keywords
Citation
Villalonga, Belen. "Note on Valuing Control and Liquidity in Family and Closely Held Firms." Harvard Business School Background Note 209-104, February 2009. (Revised June 2010.)