Brenda M. Orlando, C.P.A./A.B.V./C.F.F

Litigation Support –

Almost every civil and many criminal cases involves money or finances. Lawyers are are trained to advocate for their clients position, but they are often times not trained in the area of accounting and finance. They rely on experts to advise them and quantify for their clients the values of assets and liabilities and the monetary impact involved in their case. Certified Public Accountants are trained in the accounting, finance, internal controls, auditing, and fraud. A qualified expert can give peace of mind to both attorneys and their clients that the available facts are reviewed and presented.  

Expert Witness

Brenda has been qualified as an expert witness in matters of valuation, forensic accounting, fraud and taxation in county and federal courts.

Related to her services as an expert witness, Brenda assists with the following:

• Testimony at Trial, Arbitration and Deposition
• Assistance with Trial Preparation
• Assistance with Trial Exhibits

Mediation Services

Brenda has completed the necessary Mediation training in compliance with MCR 2.411 and Michigan Civil Court Procedure to assist parties with mediation.

Business and Asset Valuation

The largest and most complex asset in an estate is the closely held business. The questions that need to be answered in the valuation of a closely held company are:  what is being valued, at what date, for what purpose and is there a buyer?

Depending on the answer to these questions, there are different standards of value such Fair Market Value, Investment Value, and differing assumptions liquidation, going concern, holder’s interest; that will produce different value results.

Valuation of the closely held business is a discipline that usually involves three approaches to value. The asset based approach, the income approach and the market approach. The asset based approach looks to the fair market value of the underlying assets of the entity. It is used extensively for holding companies for real estate,  and investments; or very small companies. The income approach looks to the profits and cash flows generated by a business as well as, what is expected in the future to determine value. The market approach involves finding sales of similar companies to the company being valued to see what a willing seller would pay.

Valuation professionals must follow and comply with all valuation standards of the organizations they are a member of. Organizations such as the American Institute of Certified Public Accountants, American Society of Appraisers, National Association of Valuation Analysts and Institute of Business Appraisers,  are the main groups which train, credential and monitor appraisers.

Valuation services are available for the following circumstances

• Divorce
• Shareholder or Partnership Agreements
• Entity Dissolution
• Estate and Gift
• Mergers and Acquisitions

• Divorce – Other Services

• Determination of the value of marital assets and liabilities to divide the estate
• Determination of the income of the parties for purposes of child support and alimony
• Tracing of assets and funds when there are activities unknown to either party, also see forensic accounting
• Determination of funds spend on third parties or questionable activities
• Tax effecting settlements

Not all cash and investments are the same. The sale or distribution of some assets involve charges, penalties and taxes; and are not the same as cash.

• Converting assets with built in gains and taxes
• Minimizing taxes to maximize dollars to all parties

• Income Determination

Not all income is determinable from a simple W-2 from an employer. Rental properties, dividends, interest, social security, retirement, partnerships, rental properties, royalties and other forms of income may generate ongoing cash flow that may be used to determine support. Where there is a closely held company, many types of benefits and payments may also be included in support calculations.

Additionally, unreported income in the form of cash; may need to be quantified and considered. The help of a trained certified public accountant may be of assistance with determining:

• Lifestyle Analysis
• Income and Cash Flow
• Quantifying cash income
• Child Support
• Alimony

• Assistance with Discovery

Most of the financial data and evidence necessary to adequately prosecute and quantify the issues of a case must be obtained through the legal process. Interrogatories, subpoenas, and notices to produce are some of the documents that must be prepared to attempt to get to the information needed. Forensic accountants have extensive experience in knowing what the documents are to get to the information needed. Review of what is sent as an answer is another important function of a qualified forensic accountant. Many answers are lacking in substance and form. Thorough review can be done to make sure the answers are complete.

• Interrogatory Preparation and Customization
• Discovery Mastering
• Requests for Documents
• Assistance with Subpoenas
• Assistance with Depositions

Recent Valuations were performed in the following industries:

Manufacturing - Military

Manufacturing - Automotive Supplier

Fast Food Franchises

Recycling - Scrap

Professional - Medical

Professional - Chiropractic

Professional - Dental

Professional - Veterinary

Professional - Law Practice

Professional - Engineering

Professional - Enviornmental Consultant

Construction

Storage Facilities

Restaurants

Distributorship

Financial Services

Wholesale Building Supplies

Retail

Auto Dealership

Auto Repair Facility

Dry Cleaners

Heating & Cooling

Transportation - Trucking Company

Equipment Leasing Company

Insurance Agency

Real Estate Holding Companies

Manufacturers Sales Rep