Company: RILYN
Filing Date: 2025-05-01
Form Type: CORRESP
Source: 0001213900-25-038023
Chunk: 2

Company: B. Riley Financial, Inc.
Filing Date: 2025-05-01
Form: CORRESP
Chunk 2
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 losses noted in                                                                                              
 the preceding bullet point disclosed on page 34 to the losses disclosed on page 76 described as (1) a subsequent fair value adjustment   
 for the sale of bebe at September 30, 2024 in the amount of approximately $20 million and (2) a deconsolidation loss at September 30,    
 2024 in the amount of approximately $133 million detailing how these losses were determined. Please revise future filings as needed to   
 ensure the losses related to the deconsolidation of the consolidated entities and the derecognition of equity interests measured at fair 
 value are appropriately presented in the notes to your financial statements and described throughout your filing.                        |

| ● | Please tell us if there was any gain or loss                                                                                        
 recognized related to the disposal of your equity interests measured at fair value related to the Hurley, Justice and Scotch & Soda 
 brands. Please revise future filings as needed.                                                                                     |

| ● | We note your disclosure that the Company’s                                                                                                 
 ownership in the Brand Interest will be reported as a non-controlling equity method investment. Please tell us in detail and revise future 
 filings to clearly disclose the key details of any retained interests and disclose information about any continuing involvement. Refer     
 to ASC 205-20-50-4A for guidance.                                                                                                          |

| ● | Noting that you appear to be accounting for                                                                                            
 the transfer of brand interests to the securitization entity as a sale, please revise your disclosure describing the transaction to be 
 consistent with your accounting. For example, we note you describe the transactions as “secured financing” which implies the           
 transaction is simply a financing transaction and not a sale.                                                                          |

Response to Comment 2:

The Company respectfully acknowledges the Staff’s
comment, and informs the Staff as follows.

First Bullet: The intellectual property
of Brookstone was not owned by a consolidated entity of B. Riley. Rather, the intellectual property of Brookstone was owned by BKST Brand
Management, LLC. BKST Brand Management was an equity investment of bebe stores, inc., a majority owned subsidiary of B. Riley, accounted
for as an equity investment using the fair value option.

| B. Riley Financial, Inc.|  www.brileyfin.com | NASDAQ: RILY | 2 |

Second, Third & Fourth Bullets: The
amounts recorded for the Brands Transaction included in Note 4 – Discontinued Operations starting on page 34 and page 76 is comprised