Facilitator Guide

Valuation

Facilitator Guide

Valuation

Topic: Accounting & Finance
Duration: 1 hr
Format: Remote or in person

What’s covered

Valuation in legal practice
The time value of money
Definitions of value, including fair market value, book value, and liquidation value
Intrinsic valuation and discounted cash flow models
Relative valuation and comparables
Financial modeling, including the basics of financial modeling, litigation and M&A examples

Before the session

Prepare the Attendees

Send the attendees an invitation for the session. Include this link, which has the videos and exercise they’ll need to prepare.

https://www.hotshotlegal.com/trainings/valuation/attendee

Prepare Yourself

Watch the videos and read the exercise so you’re familiar with the Hotshot material.

Course

Valuation

Valuation is one of the most fundamental concepts in corporate finance. This course describes the different measures of a company’s value, and the various techniques used to value businesses and their assets.
Exercise
PDF

During the session

Part 1: Knowledge Check

Ask attendees these questions to ensure they understand the topic:

What’s book value? Liquidation value?
What’s intrinsic value and how does it differ from relative value?
What’s the basic approach for a discounted cash flow model?
What are some problems with using a discounted cash flow model?
Why are valuations using comparables (comps) used?
What are some considerations when running a comps valuation?

Part 2: Group Exercise

Lead a group discussion based on the exercise. To encourage collaboration, divide the attendees into groups to discuss the exercise, then have a representative from each group summarize their views to the larger group. Call on people to share their thoughts and ask others to respond.

Tip for remote sessions: use your web conferencing system’s breakout room feature to divide people into groups.

Part 3: War Stories and Firm Specifics

Share your own experiences and guidance, including:

Anecdotes and war stories (e.g., about a near-disaster or a tough negotiation)
General practice tips (dos and don’ts)
Firm-specific guidance and practices

After the session

To continue their learning, attendees can check out related courses in Hotshot’s Accounting & Finance topic.

About Hotshot

Hotshot helps lawyers develop their legal, business, and technology skills through short videos, quizzes, and summaries, and we help law firms and law schools plan and deliver engaging training programs. Our customers include Am Law 200 firms, top law schools, and regional and international firms.