We have been retained to value businesses and/or specific software and e-commerce technologies. Our work has been used in litigation matters, business transactions, and to assist the client company with regulatory issues. Additionally, we have been retained to calculate damages in IP and contract disputes. Often we work in concert with other experts retained exclusively to do the damages analyses.
In addition to an extensive review of the financial statements and financial modeling to determine value, a key differentiator in our work is a technical assessment of the software code and e-commerce technologies. By thoroughly analyzing the subject company’s technologies in addition to the financials we gain valuable insights regarding risks and value, including, for example, regulatory factors, intellectual property, market positioning, and margins.
Depending on the engagement and the needs of the client, we also consider other factors impacting value and damages including, for example, provenance of the intellectual property; licenses, partnerships and other agreements; industry dynamics; multiple software metrics such as maintainability index, structural complexity, and depth of inheritance; and technology trends.
Representative Engagements
- We were retained by counsel for a software company that developed software used in the financial services industry. Our work analyzed the software code, the company’s financials, and industry trends. We assessed the value of the code, including portions of the code that were developed using open source. Our work included providing related opinions.
- We were retained by counsel for a publicly-traded company regarding the valuation of a complex e-commerce application for a large municipal government. We analyzed software code, assessed development methodologies, evaluated the quality of the application including performance, and prepared a report. Our work included presenting our findings to the Board of Directors of the company.
- We were retained by a real estate lender to value its loan origination and processing software in response to a regulatory audit. We reviewed the software code, performance metrics for the software, reporting capabilities, and other factors to determine a value for the company’s primary asset.
- We were retained by a software company to value its software and related technologies used in OTT. We evaluated the marketplace, assessed performance of the subject company’s technologies, and provided recommendations to grow value. The company later retained us again to assist in preparation of materials for later-stage funding.
- We were retained to analyze the software code, development processes, and management of a venture-backed company on behalf of the private equity firm that provided financing. We assisted the client in negotiating additional financing. We worked with the venture-backed company to improve software development practices, product positioning and pricing, and team management.
- We have been retained in several litigation matters to determine damages including the value from the “headstart” gained by defendants from misappropriating plaintiffs’ intellectual property.