Page 12 - Bankruptcy and Reorganization Services

Chapter 1

Introduction

Valuation issues are almost always a dominant factor in any business reorganization or liquidation. As a
result, practitioners with bankruptcy and business valuation training and experience provide an array of
valuation services to a variety of parties, including bankruptcy trustees, debtors in possession, attorneys,
creditor and equity committees, company management, equity holders, lenders, workout specialists, and
bankruptcy courts.

The complexity of bankruptcy-related valuation services is increasing for a variety of reasons. These in-
clude, among other things, (1) the increased complexity of financial reporting and internal control re-
quirements; (2) the globalization of markets, the businesses that serve them, and the laws that govern
them; (3) the increased divergence of constituencies as a result of the growing number of participants
that lay claim to the assets of an organization; and (4) the increased complexity of corporate capital
structures. Accordingly, the need for professional and technical competence when providing bankrupt-
cy-related valuation services has never been more acute.

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