Is an electronic signature legally valid?

Yes. Electronic signatures are legally enforceable under the federal ESIGN Act (15 U.S.C. ch. 96) and state UETA statutes where adopted, provided the transaction meets intent, consent, attribution, and retention criteria.

Does a Business Value Opinion require notarization?

Generally no; notarization is not required for most opinions. Notarization or RON may be requested by counterparties or for certain filing purposes depending on state or contract requirements.

Who must sign the opinion to make it valid?

An authorized preparer or corporate officer with documented signing authority should sign. For corporate signers, include a resolution or other proof of authority to avoid challenges.

Can the opinion be revised after signature?

Yes, but revisions should be documented as an addendum or replacement report with a new effective date and new signature; retain both versions for auditability.

How long should I keep signed opinions?

Retain for at least three years as a baseline (IRC §6501(a)) and longer if industry or contract rules apply; HIPAA-related materials require six years (45 CFR §164.530(j)).

What causes a signature or report to be challenged?

Common triggers include missing data, undisclosed assumptions, signer authority disputes, inadequate audit trail, or inconsistent methodology; clear documentation and audit logs mitigate these risks.

Electronic Signature
Templates
Miscellaneous
Business Value Opinion

Business Value Opinion

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Business Value Opinion

Recitals

WHEREAS, Client Name: engages Valuation Firm: to prepare a business value opinion concerning the business identified below.

WHEREAS, Business Subject: (the "Subject") operates at Address: and the parties desire a written opinion of value as of Valuation Date: .

WHEREAS, the Valuation Firm will prepare a Business Value Opinion Report setting forth the scope, methodologies, assumptions, and resulting opinion of value to be relied upon by the Client in accordance with the terms below.

Scope of Work

The Valuation Firm will perform customary valuation procedures reasonably necessary to render an independent written opinion of the fair value of the Subject as of the Valuation Date. The engagement will include review of financial statements, market data, management interviews, and other information reasonably required to apply accepted valuation approaches and methods.

Detailed Scope Description

Valuation Details

Purpose of Opinion:

Valuation Date (effective date):

Standard of Value (select applicable)

Fair Market Value Investment Value Orderly Liquidation Value

Premise of Value:

Key Assumptions and Limiting Conditions

Deliverables

The Valuation Firm will deliver a written Business Value Opinion Report that includes, at minimum, an executive summary, description of the Subject, financial analysis, valuation approaches and methods applied, reconciled opinion of value, and supporting exhibits. Electronic delivery format to be used unless otherwise agreed.

Specific Deliverables Requested

Payment Terms

Total Fee Deposit (if any) Payment Schedule Late Payment Fee

All amounts are payable in U.S. dollars. If Client fails to pay undisputed amounts when due, interest and any collection costs shall be charged as set forth above. The Valuation Firm may suspend performance until amounts due are paid in full.

Term and Termination

Engagement Start Date: ; Anticipated Completion Date:

Notice Period for Termination (days) Termination Provisions

Confidentiality

The Valuation Firm and Client shall treat all non-public information exchanged in connection with this engagement as confidential and shall not disclose such information to any third party without prior written consent, except as required by law or professional standards. The opinion report is prepared for the exclusive use of the Client and may not be used, relied upon, or distributed by third parties without the Valuation Firm's prior written consent.

Confidentiality Acknowledgement: Client acknowledges and agrees to the confidentiality provisions above.

Limiting Conditions and Reliance

Limiting Conditions

Governing Law

This Agreement shall be governed by and construed in accordance with the laws of the State of without regard to its conflicts of law principles.

Opinion and Certification

Based on the procedures and assumptions stated in this report, and subject to the limiting conditions contained herein, the Valuation Firm hereby opines that the estimated value of the Subject as of Valuation Date is Amount: $ (USD), subject to the assumptions and limiting conditions stated in the report.

Certification: The undersigned certify that, to the best of their knowledge, the statements contained in the Business Value Opinion are true and that the opinion is impartial and based on generally accepted valuation principles applied in a consistent manner.

Entire Agreement

This document, together with any attachments and exhibits referenced herein, constitutes the entire agreement between the parties with respect to the subject matter and supersedes all prior discussions, proposals, or agreements, whether written or oral. Any amendment must be in writing signed by both parties.

Acceptance

By signing below, Client and Valuation Firm acknowledge their agreement to the terms set forth in this Business Value Opinion engagement and authorize the Valuation Firm to proceed with the valuation engagement.

Client:

By:

Date:

Valuation Firm:

By:

Date:

What a Business Value Opinion Is and When it’s Used

A Business Value Opinion is a written, reasoned statement prepared by a qualified analyst that estimates the fair market value or specified value of a business interest for a defined purpose and effective date. It documents scope, valuation methodology, data sources, assumptions, and limitations used to reach a conclusion of value. Typical uses include M&A negotiations, buy-sell agreements, tax reporting, shareholder disputes, estate settlement, and lender underwriting. The document is not a guarantee of price but a professional conclusion based on the facts available at the valuation date and applicable standards of practice.

Why a Clear, Documented Opinion Matters

A Business Value Opinion provides an auditable record of assumptions and methodology, increases transparency for counterparties and regulators, and reduces the likelihood of later disputes by documenting the analyst’s basis for value.

Who Typically Requests and Prepares These Opinions

The Business Value Opinion is used by a mix of external advisors and internal stakeholders depending on the transaction or compliance need.

Valuation firms and accredited appraisers who prepare formal opinions for M&A, litigation support, and tax compliance.
CPAs, tax advisors, and estate planners who need defensible valuations for returns, gift/estate matters, and IRS review.
In-house finance, corporate development, and legal teams producing opinions for internal reporting, buy-sell agreements, and lender presentations.

Selection of the preparer should reflect the opinion’s intended use, level of formality required, and any regulatory or evidentiary standards that may apply.

Representative Signers and Preparers

Valuation Analyst

Senior appraiser or accredited valuation professional preparing the analysis, documenting methodology, and certifying the opinion. The analyst should disclose qualifications, conflicts, and any limiting conditions in the report.

Company Officer

CEO/CFO or authorized corporate officer who provides source documents, confirms factual accuracy of company data, and signs certifications or acknowledgements as required by the opinion or underlying agreement.

Essential Sections of a Professional Business Value Opinion

A complete opinion organizes findings so readers can follow the valuation logic, test assumptions, and reproduce calculations where appropriate. The following components are standard.

Executive Summary

Concise statement of the opinion conclusion, the effective date, the valuation purpose, and the estimated value range with brief rationale for the conclusion.

Scope and Purpose

Defines intended users, type of value (fair market, liquidation, investment), exclusions, and any reliance on third-party information or restricts on use.

Valuation Methodology

Describes chosen approaches (income, market, asset), model assumptions, discount rates, multiples, and reasons for excluding other methods.

Data and Sources

Lists financial statements, tax returns, industry data, comparable transactions, and the dates of each data source used in the analysis.

Assumptions & Limitations

Discloses critical assumptions, material uncertainties, contingent liabilities, going-concern assessments, and sensitivity to key input changes.

Signature & Certification

Signed statement by the preparer certifying competence, independence (or noting conflicts), date of signature, and any applicable disclaimers or consent clauses.

Security and Compliance Considerations for Electronic Opinions

Encryption in transit: TLS 1.2/1.3 for data moving between systems

Encryption at rest: AES-256 encryption for stored documents

Audit Trail: Detailed signing logs and timestamps

Regulatory Certifications: SOC 2 Type II and ISO 27001

Healthcare compliance: HIPAA support with a required BAA

FDA / 21 CFR: 21 CFR Part 11 support where required

Step-by-Step: Preparing a Business Value Opinion

Follow a structured workflow to collect, analyze, document, and certify the valuation with clear sign-off and retention steps.

01

Engagement Letter: Define scope, fee, effective date, and deliverables in writing
02

Data Collection: Obtain financials, contracts, forecasts, and third-party comparables
03

Analysis & Modeling: Run chosen valuation methods, calculate sensitivity analyses
04

Report & Sign-off: Document conclusions, disclosures, and sign certification

How Electronic Preparation and Delivery Typically Works

Electronic workflows speed delivery and preserve evidentiary trails when configured correctly with secure authentication and retention policies.

Upload Document: Prepare the opinion in PDF or DOCX and upload to the signing platform
Place Fields: Add signature, date, and approval fields for each required signer
Authenticate Signers: Use email, SMS, or stronger authentication per risk level
Complete & Archive: Signed copies and audit trail are stored for retention

Configuring a Digital Workflow for the Opinion

A properly configured workflow ensures each signer sees the required text, signs in the correct order, and receives secure copies.

Field	Configuration
Signature Block	Require printed name, title, date for each signer
Signing Order	Sequential or parallel routing per engagement terms
Authentication	Email plus SMS or ID verification for higher assurance
Retention	Enable immutable audit trail and long-term storage

Technical Requirements for eSignature and eDelivery

Choose a platform that supports required authentication, stores an audit trail, and exports signed documents in standard formats.

File formats: PDF and Word DOCX supported
Integrations: Connectors for CRM, document storage, and ERP
Security features: Encryption, access controls, and audit logs

Confirm platform compliance with applicable standards (ESIGN/UETA, HIPAA if healthcare data present) and preserve signed copies for required retention periods.

Typical Timing and Delivery Expectations

Timelines vary by scope and data availability. Plan for sufficient time for data validation, peer review, and formal sign-off.

Engagement Start:

Date the engagement letter is executed and work begins

Valuation Date:

Specify the effective date of the opinion (MM/DD/YYYY)

Draft Delivery:

Time to deliver draft for client review (commonly 2–4 weeks)

Final Report:

Delivery after revisions and internal review

Retention Start:

Begin retention from final report date

Common Preparation Pitfalls to Avoid

Relying on unaudited or incomplete financials without disclosure, which weakens the opinion’s defensibility and can expose the preparer to challenge.
Failing to document material assumptions or forecasts clearly, leaving readers unable to reconcile model inputs with the conclusion.
Using an inappropriate valuation method without explaining why alternative approaches were rejected, undermining the report’s reasoned basis.
Skipping a second review or peer check, increasing the risk of calculation errors or inconsistent disclosures.

Risks and Consequences of an Incorrect or Misleading Opinion

Tax adjustment: IRS adjustments may extend limitations (IRC §6501)

Information return penalties: Related reporting errors can trigger IRC §6721 penalties

Professional liability: Claims for negligence or breach of contract

Litigation exposure: Disputes over value can lead to costly lawsuits

Reputational harm: Loss of credibility with investors or lenders

Contractual breach: Invalid conclusions may cause agreement disputes

Practical Tips for Accurate, Efficient Opinions

Follow these practices to improve defensibility, reduce rework, and speed approvals.

Document assumptions and sources rigorously

Record all assumptions, data sources, and supporting calculations in a workpaper file. Clear documentation reduces follow-up questions, supports peer review, and strengthens the opinion under scrutiny.

Use independent third-party data where possible

Relying on independent market comps and industry reports strengthens valuation credibility and reduces perceived bias from internally provided forecasts or optimistic projections.

Confirm signer authority in advance

Verify that the individual signing has corporate authority (by resolution or charter) and document that authority in the engagement or on the signature page to avoid downstream challenges.

Preserve an audit-ready electronic trail

Keep a secure, immutable record of drafts, reviewer notes, signed final reports, and the audit trail from the eSignature platform to support later review or regulatory inquiry.

eSignature Platform Pricing — Typical Starting Points

Basic pricing and feature distinctions among common eSignature vendors. Place platform selection in the context of security, compliance, and envelope volume needs.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	Varies by vendor	Varies by vendor	Varies by vendor	Varies by vendor
Bulk Send	Yes (Business Premium+)	Yes (plan-dependent)	Yes (plan-dependent)	Yes (plan-dependent)	Varies
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	Varies	Varies
Envelope Cap	No cap	100 envelopes/user/year	Varies by plan	Varies by plan	Varies by plan

FAQs: Execution, Validity, and Common Questions

Answers to frequent questions about e-signing, notarization, signatory authority, and retention for Business Value Opinions.

Need help? Contact support

Is an electronic signature legally valid?
Yes. Electronic signatures are legally enforceable under the federal ESIGN Act (15 U.S.C. ch. 96) and state UETA statutes where adopted, provided the transaction meets intent, consent, attribution, and retention criteria.
Does a Business Value Opinion require notarization?
Generally no; notarization is not required for most opinions. Notarization or RON may be requested by counterparties or for certain filing purposes depending on state or contract requirements.
Who must sign the opinion to make it valid?
An authorized preparer or corporate officer with documented signing authority should sign. For corporate signers, include a resolution or other proof of authority to avoid challenges.
Can the opinion be revised after signature?
Yes, but revisions should be documented as an addendum or replacement report with a new effective date and new signature; retain both versions for auditability.
How long should I keep signed opinions?
Retain for at least three years as a baseline (IRC §6501(a)) and longer if industry or contract rules apply; HIPAA-related materials require six years (45 CFR §164.530(j)).
What causes a signature or report to be challenged?
Common triggers include missing data, undisclosed assumptions, signer authority disputes, inadequate audit trail, or inconsistent methodology; clear documentation and audit logs mitigate these risks.

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