Valuation of BV Shares in DGA Divorce in Tilburg: Methods and Valuations
In Tilburg, a vibrant business center in North Brabant with many family businesses in sectors such as textiles, mechanical engineering, and logistics, the value of BV shares often forms the biggest stumbling block in a DGA's divorce. Under Article 1:141 DCC, the value increase during the marriage must be divided through periodic equalization. Local courts in Tilburg frequently encounter this among SMEs from the region, such as around the Spoorzone or industrial areas like Loven and Teteringen. Three common valuation methods are: discounted cash flow (DCF), multiples of EBITDA, and net asset value.
DCF calculates future cash flows with a discount rate of 8-12%, adjusted for risks in the Tilburg market, such as fluctuations in the manufacturing industry. Multiples vary by sector: 4-8x EBITDA for typical Tilburg SMEs, with lower multipliers for traditional sectors. For goodwill, the formula 'average profit x 3-5' often applies, taking into account local economic factors such as proximity to the port of Moerdijk. Registered accountants or valuation experts from Tilburg, such as those affiliated with the local NIVRA branch, perform this, with reporting to the court in Den Bosch, which has jurisdiction over Tilburg matters.
Tax considerations: upon transfer of shares, the Income Tax Act 2001 applies with possible termination levy on FOR. Marital agreements with cold exclusion protect the entrepreneur but require periodic equalization of asset growth, which is common in Tilburg family law practices. Practice example: summary proceedings before the district court judge in Tilburg for provisional valuation prevents blockages in divorces of local entrepreneurs. After agreement, share transfer follows via a Tilburg notary, with adjustment of articles of association and attention to regional tax advisors.
Tip: have both parties appoint their own appraiser from the Tilburg region for maximum objectivity and knowledge of local market values.