I was told that the company must be valued by an auditor. Is this true?


To answer that question honestly, you should determine the competence of the person making such a valuation. Business valuation requires knowledge of:

  • business valuation methods for different purposes in the context of valuation (equity transaction, liquidation, contribution in kind, compensation litigation, etc),
  • methods of valuation of assets (tangible and intangible assets and off-balance sheet)
  • issues in different areas of economics and management, including marketing, strategic, financial, legal, accounting and financial reporting,
  • analytical methods and procedures: fundamental analysis, technical analysis, strategic analysis, risk analysis, investment analysis,
  • methods of obtaining market data and analysis field,

I do not think anyone was prepared for the auditor to carry out the valuation of companies and have relevant experience. This does not preclude assertion that there may be statutory auditors who have sufficient qualifications. The problem is that our legislators once enrolled in the CCC that kind contribution auditor examines and poor no expert must be familiar with the valuation of intangible assets and cooperate with expert subject coverage.