Accountants in attempting to assist their clients, often undertake valuations.
However, this has the potential to compromise the Accountant's relationship with their clients.
We have seen numerous client relationships damaged as a result of Accountants undertaking valuation work to assist their clients.
For instance, a valuation is required (for family law proceedings or a dispute between partners of a business) and both parties are your clients.
In order to assist your clients, you prepare the valuation.
There is a risk that you may be perceived as an advocate for one of the parties, which results in the loss of confidence from the other party.
Regardless of how impartial you believe you have been, and how well you have prepared your valuation, if the perception of your independence is questioned, this will greatly undermine your valuation and can damage your relationship with your clients.
An independent valuation can significantly reduce your exposure to such risks.
Independence is crucial for:
1. Shareholders disputes;
2. Valuations in the context of Capital Gains Tax and Stamp Duty; and
3. Valuations in family law matters.
In such cases, the valuation report should be obtained from an independent third party.
Furzer Crestani Forensic since 1985 has been preparing valuation and forensic accounting reports.
Our team includes CA ANZ accredited Business Valuation Specialists who are able to provide your clients with an independent valuation report in a timely and cost effective manner.
We provide a free half hour consultation at our Parramatta office so that we can learn about you and your clients needs and provide a proposal.
Please do not hesitate to call us on 9635 3044 to book your free half hour consultation with one of our accredited Business Valuation Specialists to discuss your clients needs.
Chris Katehos Director