Types of Business Valuation Reports

Tri-State Business Appraisal prepares all of its reports in compliance with the Institute of Business Appraisers’ Standards. These standards allow for three types of reports. 

The formal appraisal report is a comprehensive business appraisal and is sometimes called the long form, narrative or comprehensive report.

The letter report, which is shorter than the formal report, presents conclusions together with brief generalized comments. This type of report is often referred to as a short-form report, letter opinion, or an informal report. By its nature, the letter form report is an instrument of brevity.

A brief oral or written report reflecting the appraiser’s limited opinion. A "limited" opinion of value as the appraiser has not performed the detailed investigation and analysis essential to a cogent appraisal.

Appraisal reports are written for a specific use and specific audience. When a report is used for a purpose or with an audience for which the report was not intended problems can occur. The audience may not understand and accept the conclusions in the report and result in a lawsuit or punitive actions by the Internal Revenue Service.

All business appraisers have their own form of the certification statement and most have similar concepts and content. Since our principal, Steven J. Iannelli, has received the Certified Business Appraiser (CBA) designation from the Institute of Business Appraisers (IBA), our certification statement incorporates the IBA’s strictest requirements.

Call Us Today At 1-610-955-9343 For A Confidential Discussion About Your
 Valuation Requirements.