Using a CPA for Business ValuationsCPAs are the logical professional choice to perform a business valuation.
Since a business is often an individual's most valuable asset, it is important that the valuation be conducted by a qualified professional. CPAs are experienced business advisors, accustomed to working with management on numerous strategic, operational and financial matters. They are also adept at dealing with the IRS on behalf of their clients.
Surveys have shown that CPAs are among the most trusted of all professionals. In fact, because of their professional qualifications and ethical standards, judges often call CPAs as expert witnesses in court cases where the value of a business is in question.
CPAs' unique knowledge and understanding of financial and tax issues give them a superior ability to use financial statements, tax returns, auditor reports and financial forecasts as the basis for determining the value of a business.
Education and Experience
CPAs must meet specific education and experience requirements before they are licensed. They must also pass a rigorous examination that covers everything from auditing to taxes to business law issues.