Benchmarking is necessary to develop or support pricing for intercompany transactions.
The most appropriate economic analysis to apply in establishing the arm’s length nature of transfer prices depends on many factors, including the nature and risk profile of the transaction, the business profile of the parties, the jurisdictions involved, the availability of financial data and qualitative information, and cost / benefit considerations.
We have extensive experience developing benchmarks for a wide variety of transaction types, industries, and taxing jurisdictions. Using third party databases, (the same databases used by tax authorities) we develop benchmarks on a global basis for transactions related to transfers of goods, services, intangible property and financing arrangements.
Our working approach is highly flexible, depending on your needs – our working models include:
- Benchmarking performed under strict parameters provided by you
- Collaborative benchmarking working closely with your team
- Update existing benchmarks
- Outsource the benchmark analysis to us in full
Frequently Asked Questions
Can we perform the benchmarking ourselves in-house?
We support the varied benchmarking needs of our clients – everything from conducting a fully outsourced search for a new comparable companies set, to giving you full control by applying very specific search strategy instructions at your direction. We can also update the financial results of previously identified comparable companies.
To discuss your company’s benchmarking needs, send an email to firstname.lastname@example.org.