Sample Appraisal Report

A typical appraisal report is divided into many sections and usually considers the following areas:

  • The history of the Company and the nature of the business.
  • General economic outlook and the outlook of the particular industry.
  • Book value of the stock and the financial condition of the business.
  • Earnings capacity of the Company.
  • Dividend paying capacity.
  • Whether the enterprise has goodwill or other intangible value.
  • Sales of stock and the size of the block to be valued.
  • Market prices of stock of other comparable companies traded on exchanges.

Here are some sample sections of a typical appraisal report:

  1. INTRODUCTION AND SUMMARY
  2. VALUATION CONSIDERATIONS AND OTHER FACTORS
  3. DESCRIPTION
  4. VALUATION
  5. INCOME STATEMENT