Business Is Lost After Injury – Or Grown While Recovering?

Forensic Accounting Expert

Irina Balashova, CPA, CIA, CFF, Forensic Accounting Expert
Case Synopsis: Co-owner of a plumbing company with annual sales ranging between $1M and $2M was injured in a motor vehicle accident and allegedly lost profits from his inability to work directly with customers and supervise the work of others.
It was claimed that by applying certain industry-wide performance metrics, the company had become less profitable because of higher labor costs, among other factors. As a result of the allegedly impaired profits in future years, it was estimated that the plaintiff sustained a personal income loss of $100,000 per year, which would have accumulated to a future loss of $2M. Continue reading “Business Is Lost After Injury – Or Grown While Recovering?”