BUSINESS VALUATION Definition

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BUSINESS VALUATION is the act or process of determining the value of a business enterprise or ownership interest therein by determining the price that a hypothetical buyer would pay for a business under a given set of circumstances.

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RESTRICTED STOCK is stock which is acquired through an employee stock option plan or other private means and which may not be transferred. Restricted stock may be forfeited if any SEC regulations related to it are violated or the employee either does not exercise his/her option or terminates employment prior to fully vesting.

ESCROW ACCOUNT see TRUST ACCOUNT.

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