Company: RILYN
Filing Date: 2025-05-01
Form Type: CORRESP
Source: 0001213900-25-038023
Chunk: 1

Company: B. Riley Financial, Inc.
Filing Date: 2025-05-01
Form: CORRESP
Chunk 1
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 interest income separately from the
change in fair value of loans receivable, for the original issue discount the Company considered the following interpretive guidance from
section 12.4.1.1.1.2 of the Deloitte Roadmap to Fair Value Measurements (Including the Fair Value Option):

If an entity elects, as an accounting policy, to separately present interest income or interest expense on an interest-bearing financial instrument accounted for at fair value through earnings, the entity should, with one exception, include amortization or accretion of any premium or discount on the instrument as part of the separately reported interest income or interest expense. If the fair value initially recognized for an interest-bearing financial instrument (e.g., debt) differs from the principal amount due at maturity (“par”), this difference is a premium or discount that should be amortized or accreted. An entity should recognize the amortization or accretion in interest income or interest expense if it is separately presented. Under ASC 320-10-35-4 and ASC 325-40-35-2, the method used to measure interest income or interest expense on an interest-bearing financial instrument (including any amortization or accretion of a premium or discount) should be the same regardless of the measurement attribute (e.g., amortized cost) used to measure the financial instrument. Thus, the premium or discount should be amortized by using the interest method that would have applied to the interest-bearing financial asset or financial liability if it had not been recognized at fair value through earnings.

| B. Riley Financial, Inc.|  www.brileyfin.com | NASDAQ: RILY | 1 |

Note 4 - Discontinued Operations

Brands Transaction, page 31

| 2. | We note your disclosures on page 31 and various transactions noted on page 76 related to the disposal 
 of the Brands. Please address the following:                                                          |

| ● | Please tell us and revise future filings to                                                                                                
 clarify if the Brookstone intellectual property was owned by a consolidated entity. If not, please clarify how it was accounted for before 
 the disposal.                                                                                                                              |

| ● | Please tell us what the loss of $113 million                                                                                
 presented as “Realized and unrealized losses on investments” on page 34 represents and tell us how the $39 million as “Loss 
 on disposal” on page 34 was determined for the quarter ended September 30, 2024.                                            |

| ● | Please reconcile for us the