Because of the down sizing of the mid-90's many people went into business for themselves.

In divorce proceedings these family businesses have to be appraised.

Most attorneys who represented women complained that up to now appraisals always favored the spouse who was awarded the business, normally the men.

Business appraisals in the past based the fair market value on what an "arms length" buyer would pay for the family business.

The rub was that the business was not being sold. "The buyer" was the spouse who was awarded the business, not some hypothetical investor. Appraisers in the past discounted the value of the business because of the risk inherent in a transfer of the business. The catch is that there was no transfer of ownership, and therefore, no risk inherent in the transfer of business.

This issue was resolved with the introduction of the MARITAL VALUE BUSINESS APPRAISALS, which is more than the FAIR MARKET VALUE of a business. The MARITAL VALUE takes into account that when the court awards the business to a spouse there is no change of ownership, and therefore, no reduction in value to reflect the inherent risk in a transfer of the business.