Members can download sample tailored engagement letter clauses for a valuation engagement conducted in accordance with APES 225. The sample engagement clauses included in this addendum provide guidance and suggested wording applicable to valuation engagements, to assist you in relation to specific valuation paragraphs when tailoring the Engagement letter tool (Australia) to your valuation engagement.

Access the tool here

Members can download this report template, designed to guide members when preparing a valuation report in accordance with APES 225 Valuation Services.

Access the template here

Our Concise guide to managing business valuation risk provides information for directors to assess their exposure to valuation risk, evaluate the board’s level of expertise to deal with valuation issues, and exercise appropriate due diligence when addressing questions around valuation risk.

Three areas in which directors’ exposure to valuation risk have arisen are:

1. Evolving accounting and tax regulation
2. Changing balance sheets
3. Increased market volatility

Directors have an important role to question risk management processes, and ensure adaptability to the board's corporate strategy.

There is an elaborate and interrelated set of financial skills and business acumen involved in business valuation, including financial forecasting, benchmarking and industry analysis and capital markets understanding.

The guide provides a list of questions to assist directors to evaluate the level of expertise within an organisation.

The appraisal foundation

• Uniform Standards of Professional Appraisal Practice
• International Appraisal Standards
• USA valuation sources
• Value management

Valuation Standards around the World

• International Business Valuations Council
• The Canadian Institute of Chartered Business Valuators
• The American Society of Appraisers
• Uniform Standards of Professional Appraisal Practice
• International Appraisal Standards

Australian Securities Investments Commission guidance relevant to business valuation practitioners.

• ASIC regulatory guides 111 and 112 have replaced PN42, 43 and PS75

Australian Taxation Office guidance relevant to business valuation practitioners

• Consolidation and market valuation summary

Members can access the latest IVSC International Valuation Standards (IVS). These standards are effective 31 January 2022 with early adoption of the new standards encouraged by the IVSC.

Available for members are:

1. A full PDF copy of the latest IVS (effective 31 January 2022)

Access the IVS here

2. A ‘red-line’ version of the latest IVS showing the changes since the previous version of IVS (effective 31 January 2020).

Access the redline IVS here

Stephen chairs the committee, and is a Partner of Deloitte’s mergers and acquisitions business, specialising in providing clients with valuation advice for mergers and acquisitions or other commercial purposes. 

During his 30+ year career with Deloitte Stephen has provided clients with corporate finance advice, pre-acquisition due diligence reviews, valuations, structuring advice and feasibility studies in respect of companies operating across a broad range of industries throughout Asia.  

Stephen is an Adjunct Fellow of Macquarie University and teaches the Applied Business Valuation and Advanced Valuation for Corporate Finance in the university’s Masters of Applied Finance. He is also a CA Business Valuation Specialist and a member of the CA ANZ Business Valuation Specialisation Committee.

Fiona is a Senior Managing Director in FTI Consulting’s valuation advisory team. She has over 20 years' experience in corporate finance having held senior roles in the Big 4 accounting firms working in Australia, Europe and South Africa.

Fiona specialises in valuations of businesses, intangible assets, equity and debt instruments, executive options, impairment testing and independent expert’s reports. She has prepared numerous valuation reports for a range of purposes, including mergers and acquisitions, accounting, taxation, stamp duty, Corporations Act and ASX requirements.

Hugh is Business Unit Head for Forensic Accounting Services at Nexia Edwards Marshall in Adelaide.

Hugh specialises in Forensic accounting and litigation support services, covering the spectrum of business valuation services including matrimonial property matters, particularly, professional service enterprises and minority interests.

Jay Shaw leads Grant Thornton New Zealand’s business valuations and forensic accounting service line and its Auckland financial advisory services practice.

He currently sits on the business valuation board of the International Valuation Standards Council (IVSC), the established standards setter for the business valuation profession globally.

Jay has more than 20 years valuation and forensic accounting experience in both NZ and in the UK. His experience includes numerous business and intangible asset valuations prepared for various commercial purposes, including financial reporting, tax, restructuring, disputes and M&A.

In addition, Jay provides forensic accounting and litigation support services, including economic damages assessments and financial investigations, to assist in the settlement of a wide range of commercial & other disputes.

James is an Associate Director in PwC’s Corporate Value Advisory practice and has over 10 years valuations and forensic accounting experience in Australia and South Korea.

James specialises in the valuation of businesses, shares, projects and financial instruments, and quantification of loss and damages in commercial disputes and litigation. He has undertaken valuations across a broad range of industries for public and private companies in Australia and overseas, including valuations for mergers & acquisitions, accounting, tax and dispute purposes. James is driving the use of data and analytics platforms in valuations to improve the quality and depth of insights provided to his clients.

Nadine is a Partner in RSM Australia’s Corporate Finance division.  She has been undertaking valuations in Australia for almost 15 years, having moved from the UK where she worked in both Audit and Restructuring roles.

Nadine leads the valuation and litigation support services team in Perth, which has a particular focus on relationship, property and shareholder disputes.  She has valued companies and businesses in a wide range of industries and for other purposes such as acquisitions, divestments, independent expert reports and taxation.

Nghia is a Director in EY’s Assurance and Capital Markets practice with international experience across Malaysia, Singapore, Australia, Philippines, Indonesia, New Zealand and the United States of America.

Nghia specializes in handling US cross border deals including SPACs, IPOs and convertible note offerings, and he is experienced in resolving the various business valuation and accounting issues that arise from these types of transactions.

Nghia is an accredited Chartered Accountant Business Valuation Specialist (CA BV Specialist) and a member of the CA ANZ Business Valuation Specialisation Committee. He is also a Regional Councillor on the CAANZ Malaysia council where he actively promotes the business valuation specialisation program to the region. His past roles with CA ANZ also includes being a committee member of the Young Chartered Accountants subcommittee in Singapore and Victoria, Australia.

Richard is a PWC Partner with experience in company and business valuations, corporate finance and mergers and acquisitions.

His experience has involved valuations of companies and businesses for the purposes of acquisitions, divestments and mergers including independent expert's reports on takeovers and proposals requiring shareholder approval.

Richard is a past chair of the NSW Regional Council of CAANZ and past Chair of the Business Valuation Special Interest Group (BVSIG) of that Organisation.

Richard is an Adjunct Professor at the Business School of the University of Technology, Sydney.

Simon specialises in valuing private businesses and quantifying damages.  

Simon is an Accredited Business Valuation Specialist and an Accredited Forensic Accounting Specialist with CA ANZ. 

He chairs the CA ANZ Business Valuations group for Queensland and is a CA ANZ Business Valuation Committee member.    

Simon’s qualifications include the New York Stern University Advanced Valuations program, Graduate Diploma in Applied Finance, and the Certified Fraud Examiner qualification.    

Prior to founding Lotus Amity, he was a Forensic Accounting and Corporate Finance partner with BDO Australia and led their national forensic practice. He has worked on many cases in a wide range of industries, including assisting in multi-billion-dollar litigation in relation to the Bernie Madoff’s $65bn Ponzi scheme.  

Simon has assisted in many legal matters, including breach of contract, shareholder and transaction disputes and matrimonial matters. Forensic services provided include economic damage calculations, business valuations and interpretation of financial information. He has acted as an expert witness, as a shadow expert and assisted in mediations.

Steve became a partner with HLB Mann Judd in 2009 and is an industry respected auditor and advisory partner specialising in funds management, manufacturing, transport & logistics enterprises, construction and corporate transaction advice. When asked about the challenges about valuing businesses in many different structures, Steve noted that the commercial and analytical skills gained through auditing help him in good stead.

Personal philosophy: “I work to get results for my clients. I take great pleasure in seeing their growth and knowing I have contributed.”

My motivation/focus: Enjoying my newer focus on the corporate advisory environment in valuing equity in businesses arriving at ‘fair-value opinions’ whilst being involved in broader transaction advice. In summary: the excitement of seeing the Australian business landscape evolve.