Business Valuation for Acquisition Purposes

5.0from 80+ client reviews

Business valuations for acquisition purposes, supporting purchase price allocation under ASC 805. AppraiseItNow delivers credentialed fair market value reports that satisfy due diligence requirements and keep your transaction on schedule.

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DEFENSIBLE, USPAP-COMPLIANT BUSINESS APPRAISAL REPORTS — QUALIFIED FOR THE IRS, AUDITORS, AND THE COURTS.

  • IRS
  • GASB
  • United States Courts
  • U.S. Small Business Administration
  • Chase
  • Bank of America
  • Wells Fargo

The business valuation team behind your valuation report

Between them, our business valuation appraisers hold ASA, ABV, and CFA designations, and every report is written to USPAP for the IRS, auditors, and the courts.

Joe Kattan

Joe Kattan

Owner & CEO

Joe founded AppraiseItNow to make a certified, USPAP-compliant appraisal as simple to order as anything else online. A former Bain & Company strategy consultant, Joe leads the entire team and specializes in strategy, growth, and the firm's tech capabilities.

Justin Ramirez

Justin Ramirez

Business Valuation Expert & Appraiser

ASA, ABV, and CFA charterholder. Since 2016 Justin has valued businesses for estate and gift tax, purchase price allocations, fairness opinions, lending, and buy-sell agreements, across manufacturing, services, retail, and pre-revenue biotech.

Raymond Ghelardi

Raymond Ghelardi

Business Valuation Expert & Appraiser

Accredited Senior Appraiser with the American Society of Appraisers. Raymond values capital stock, business enterprises, stock options, and intangible assets.

Aron Blue

Aron Blue

Client Success Manager

Manages each engagement from the first enquiry to the delivered report, and keeps you posted at every step along the way.

  • USPAPWritten to the Uniform Standards of Professional Appraisal Practice
  • Rev. Rul. 59-60 and ASC 820The valuation framework the IRS, auditors, and courts test a business value against
  • American Society of AppraisersAccredited Senior Appraiser
  • AICPAAccredited in Business Valuation
  • CFA InstituteChartered Financial Analyst
  • The Appraisal FoundationAuthorized by Congress as the source of appraisal standards

Business Valuations for Mergers and Acquisitions

When a business changes hands through a merger or acquisition, establishing fair market value is both a financial and regulatory necessity. Under IRC Section 1060, any transaction involving a group of assets constituting a trade or business requires a purchase price allocation across seven asset classes, with both buyer and seller filing IRS Form 8594 for the transaction year. Discrepancies between filings are a known audit trigger. Financial reporting under ASC 805 adds a parallel obligation, requiring fair value allocations for business combinations to be completed within one year of closing. Our business valuation practice supports all of these requirements with credentialed, defensible appraisals.

AppraiseItNow delivers business valuations for M&A transactions online and onsite throughout the United States, covering companies across a wide range of industries and transaction sizes. Engagements typically require four to eight weeks from start to final report, and we recommend initiating the process 30 to 60 days before anticipated closing to allow adequate time for analysis and auditor coordination. Whether you need a standalone business interest valuation or a full suite of M&A valuation services covering multiple asset classes, our team is equipped to handle the full scope.

Business Interests and Entities We Appraise for M&A

AppraiseItNow appraises a broad range of business types and ownership structures commonly involved in mergers and acquisitions transactions.

  • Closely held corporations being acquired in full or partial transactions
  • S-corporations and C-corporations with complex capital structures
  • Limited liability companies and partnership interests
  • Professional practices including medical, dental, legal, and accounting firms
  • Manufacturing and industrial businesses with significant tangible asset bases
  • Technology companies with substantial intangible assets and intellectual property
  • Retail and franchise businesses with multiple locations
  • Distribution and logistics companies with fleet and inventory components
  • Family-owned businesses transitioning through sale or merger
  • Holding companies with subsidiary interests requiring consolidated or individual valuation

How AppraiseItNow Handles M&A Business Valuations

Our appraisers hold credentials from recognized professional organizations including ASA, ISA, AAA, CAGA, AMEA, and NEBB, and all reports are USPAP-compliant and prepared to withstand IRS and auditor scrutiny.

  • Clients receive a detailed written appraisal report that documents the valuation methodology, income and market approach analysis, supporting financial data, and final concluded value, formatted to satisfy both IRS Form 8594 requirements and ASC 805 financial reporting standards.
  • We work from three years of tax returns, profit and loss statements, balance sheets, and interim financials, and we coordinate directly with attorneys, CPAs, and transaction advisors to ensure the appraisal integrates smoothly into the deal process.
  • Report type and complexity affect timeline: summary reports typically complete in four to six weeks, while comprehensive reports for larger or more complex businesses run six to eight weeks, with companies over $50 million in revenue or with multiple locations often requiring additional time.
  • Appraisals are delivered online for most engagements, with onsite visits conducted when physical inspection of operations, facilities, or assets is necessary to support the concluded value.

What clients say we are known for

AppraiseItNow Reviews: “The team was highly knowledgeable, helpful, and efficient”

  1. Being the appraiser they come back to“I highly recommend their appraisal services, especially for private companies” Steve R.Mentioned in 44 reviews
  2. Answering fast, and staying reachable while the work runs“From the start they were very responsive, price competitive” Chris S.Mentioned in 34 reviews
  3. Showing the research and the comparables behind the number“Very thorough and professional — great communication and outstanding service” Curt B.Mentioned in 29 reviews
  4. Delivering the finished report ahead of the deadlineMentioned in 21 reviews
  5. Taking on items other appraisers had already turned downMentioned in 14 reviews

Across 80+ published AppraiseItNow reviews the picture is consistent: every one is from a client who paid us for an appraisal, and the three things they raise most often are that they would hire us again, how quickly we answer, and how much research is visible in the report.

  • Responsive, professional, first class deliverables -- especially considering that that the appraised assets are extremely complex financial assets with little by way of comps. The deliverable satisfied my accountants and advisers as being more than adequate to support the valuation needed to complete a conversion to a Roth IRA
    Dave T., Ocala, FL ·

    Business Valuation Appraisal for IRA Conversion

  • The team was highly knowledgeable, helpful, and efficient. I highly recommend their appraisal services, especially for private companies.
    Steve R., Northbrook, IL ·

    Business Valuation Appraisal for IRA Conversion

  • From the start they were very responsive, price competitive, and had a quick turn around time. Thank you so much to Joe who was very sweet in responding to my emails; I am looking forward to utilizing AppraiseItNow for many years to come.
    Chris S., San Clemente, CA ·
  • Very thorough and professional — great communication and outstanding service. Highly impressed with their work!
    Curt B. , Washington, UT ·

Frequently Asked Questions on Business Valuation for Acquisition Purposess

Why can one M&A deal involve three different standards of value?

Because each use has its own rule: deal pricing typically reflects investment value to the specific buyer including synergies, tax matters such as purchase price allocations under IRC 1060 require fair market value per Revenue Ruling 59-60, and post-closing financial statements measure the acquired business at ASC 805 fair value, which excludes buyer-specific synergies. Mixing these standards in one report is a recognized pitfall that invites challenge.

What benchmarks anchor pricing in lower middle market deals?

Enterprise-value-to-EBITDA multiples from precedent transactions and industry comparables anchor pricing in the large majority of deals involving founder-owned businesses with at least about $1 million of EBITDA, with private-company multiples clustering roughly between 4x and 15x depending on sector and size. Discounted cash flow and asset approaches serve mainly as cross-checks.

Are minority discounts applied when shareholders dissent from a merger?

Generally no. Many state statutes and courts define fair value for dissenters' rights and oppression cases as excluding discounts for minority interest and lack of marketability, contrary to common fair market value practice. Applying discounted fair market value in that setting materially undervalues the dissenting holder's shares.

Where do M&A valuation disputes usually concentrate?

On the assumptions inside the models: revenue and margin growth, discount rates, terminal value, and which guideline companies or precedent transactions are truly comparable. Opposing experts and regulators contest these inputs more often than the choice of method, so we document why each comparable and each assumption was selected.