Multi-Attribute Utility Model (MUM)

MUM is a court-tested approach to allocating personal/professional goodwill and enterprise goodwill for a privately held business. MUM simplifies and documents the process of selecting and weighting attributes for allocating business goodwill between personal/professional goodwill and enterprise goodwill.

Overview

When you need a quick and easy way to separate personal goodwill from enterprise goodwill for a business:

• MUM gives you a simple, court-tested mechanism to identify critical attributes, assigning weighting ranges, and measure the presence of attributes to allocate goodwill and document your approach and findings.
• Meet the judicial challenge for method, documentation and allocation.
  Developed by David Wood, CPA, ABV, CVA.
• ValuSource’s MUM provides the valuator with a mechanism for identifying and providing relative importance to the attributes that make up personal and enterprise goodwill.
• MUM provides a framework, calculator, and documentation for each step in allocating goodwill between personal/professional and enterprise.

ValuSource’s MUM enables a “walk-through” of the goodwill allocation process, taking the valuator through:

• Setting outcome alternatives
• Setting the objective
• Selecting critical goodwill attributes
• Evaluating the importance of each attribute
• Evaluating the presence of each attribute
• Calculating the resulting allocation of goodwill
• MUM simplifies and documents the process of selecting and weighting attributes for allocating business goodwill between personal/professional goodwill and enterprise goodwill.
• MUM gives a court-accepted method of measuring goodwill attributes for importance and presence in the business.
• MUM is quick and easy to use.

Click here for an article from the American Journal of Family Law explaining the basics of MUM.

Click here for a MUM sample report