Building an Appraisal or Valuation Report
We are prepared to appraise your business for a variety of purposes in Grand Rapids and surrounding areas
Depending on your purpose for getting an appraisal, the business appraiser at Laird Valuations will shape your reports accordingly.
For example, we often perform appraisals or valuations for the purpose of:
- Marital Dissolution
- Sale of Business
- Gifting
- Probate
- Estate Planning
- Ownership Disputes
The different types of standards
To accurately select and format data for your appraisal, our business valuation consultants will decide which standard should be used for your report. Once we know the purpose of your appraisal, we may use a standard such as:
Fair market value: This approach is most often applied to issues regarding sales or tax-related concerns.
Fair value: If you need an appraisal for divorce proceedings or shareholder oppression cases, we'll use this standard to form your report.
Investment value: Similar to fair value, this standard is applied if there is an expected rate of return involved in an investment.
Strategic value: This standard is used as fair market value adjusted to compensate for the operational efficiencies of an acquiring company.
If you have questions about the various standards we use, feel free to contact us today.
Understanding premise
All appraisals are performed on the basis of whether the company is a going concern or not. While it is rare that a company is not a going concern, occasionally appraisals are performed even if they are not. This pivotal decision creates the context or backdrop of the valuation. If a company is not a going concern, its value is severely diminished.