Before jumping headfirst into a business valuation, you need to iron out the fundamentals. One critical factor to identify up front is the effective valuation date, especially in today’s volatile market conditions. What’s appropriate may vary depending on the valuation’s purpose. Valuation date variations Consider the following situations: Estate tax valuations. For estate tax purposes, assets normally are valued on the date of death. But under certain circumstances, an executor may elect to use the “alternate valuation date,” which is six months after the date of death. The later date may be advantageous if the decedent’s estate includes closely held business interests, real estate or other property that’s declined substantially in value since the date of death. There’s a catch, though. The executor can’t selectively apply the election to...