'Do you have any sample business valuation reports?'

BVWireIssue #71-2
August 13, 2008

We get this question all the time—to which we have typically replied “we don’t, because we find it difficult to get reports from appraisers.”  That was then, and this is now.  The Institute of Business Appraisers (IBA) and Business Valuation Resources are now offering the just-released IBA Guide to Sample Business Appraisal Reports, Volumes I and II.  

This Guide is a response to appraisers who say “I could do one of these reports if I could just see one as an example.”  The 12 included reports are real life reports (redacted to protect the subject business and appraiser) that have been through the IBA’s rigorous review process.  Examples of the included reports are:

  • Appraisal of minority interest in a limited partnership for estate tax return. Illustrates 100% discount for lack of control—limited partners cannot access asset values.
  • Limited scope assignment for the appraisal of a pool and hot tub retailer for purchase by long-time employee, whose bank requested the appraisal. The report presents a range of values for the business, including a value derived from the use of small business transaction data.
  • Countertop and flooring business appraised for sale when owner had significant under-reported income. Illustrates typical adjustments in respect of the tax avoidance choices made by many small business owners.
  • Operating company distributing HVAC products appraised for internal planning. Application of multiple period model and detailed write up of company specific risk.

Click here to view the Guide’s Introduction with more details and here to purchase this must-have Guide for your reference library.

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