Are electronic signatures legally binding?

Yes. Electronic signatures are legally enforceable under the ESIGN Act (15 U.S.C. §7001) and UETA where adopted, provided intent, consent, attribution, and retention requirements are met.

When is a notary required?

A notary is required only when state law or a transaction necessitates notarization; check the governing jurisdiction for deeds, certain affidavits, or when a notarized acknowledgment is contractually specified.

How do I correct a signed error?

If a signed agreement contains an error, execute an amendment or corrective addendum signed by all parties; do not alter the original signed copy after execution without a formal amendment.

Can I use remote notarization?

Many states permit remote online notarization with identity proofing and audio‑video recording; verify state notary rules and retention requirements before using RON.

Who must sign the agreement?

An authorized representative with signatory authority must sign. For entities, include printed name, title, and evidence of authority if required by corporate policy or law.

How should completed agreements be stored?

Store signed PDFs with the audit trail in a secure system with access controls, encryption, and defined retention consistent with IRS, HIPAA, or industry rules as applicable.

Electronic Signature
Templates
Finance
Financial Value Agreement

Financial Value Agreement

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

FINANCIAL VALUE AGREEMENT

Parties

This Financial Value Agreement (the Agreement) is entered into by and between:

Valuer: Entity Type: Corporation LLC Individual Address: Primary Contact: Client: Entity Type: Corporation LLC Individual Address: Primary Contact:

Recitals and Purpose

WHEREAS, Valuer is engaged in providing financial valuation, appraisal, and advisory services and represents that it has the requisite qualifications, experience, and independence to perform the valuation described herein; and

WHEREAS, Client desires an agreed and binding valuation of the assets, interests, or financial items described below for the purposes set forth in this Agreement; and

Agreement

1. Effective Date of Valuation: The agreed valuation shall be effective as of (the Effective Date).

2. Subject Matter: The Subject Matter covered by this Agreement includes the following description and schedule. Valuer and Client agree that the valuation shall apply solely to the assets, interests, or rights expressly listed in the Valuation Schedule below.

Valuation Schedule

Description	Quantity	Unit Rate	Amount



Subtotal
Tax / Fees
Other Adjustments
Total Agreed Value

Methodology and Assumptions

Fees and Payment Terms

Valuer shall be compensated in accordance with the Fee Schedule above and the following terms: Payment due within days of invoice. Late payments shall incur interest at and reasonable collection costs.

Accepted payment methods:

Representations, Warranties and Reliance

Each party represents and warrants that it has full authority to enter into this Agreement and that all information provided to the other party for purposes of the valuation is true, complete and not misleading. Valuer represents that the valuation has been prepared in accordance with generally accepted valuation principles and professional standards, subject to the assumptions set forth herein.

Confidentiality

All non-public information exchanged in connection with this Agreement shall be kept confidential and used solely for the purpose of performing and relying upon the valuation, except as required by law or with prior written consent of the disclosing party. Valuer may disclose aggregate, non-identifying valuation data for internal research and quality assurance.

Indemnification and Limitation of Liability

Client shall indemnify and hold Valuer harmless from liabilities arising from Client-supplied data that is false or incomplete. Except for breaches of confidentiality or willful misconduct, the total liability of Valuer arising out of or in connection with this Agreement shall not exceed the fees actually paid to Valuer for the valuation.

Governing Law and Dispute Resolution

This Agreement shall be governed by the laws of the jurisdiction specified below. Any dispute arising from or relating to this Agreement shall be resolved first by good faith negotiation, and if unresolved within 30 days, by binding arbitration administered in accordance with the parties' selected rules. Governing jurisdiction:

Notices

All notices shall be in writing and delivered to the addresses set forth above or to updated addresses provided in writing. Valuer Contact for Notices: ; Email:

Client Contact for Notices: ; Email:

Term and Termination

This Agreement shall commence on the Effective Date and remain in effect until completion of the valuation and payment of all fees, unless earlier terminated for material breach upon 15 days' written notice and opportunity to cure.

Miscellaneous

Any amendment to this Agreement must be made in writing and signed by authorized representatives of both parties. Headings are for convenience only and do not affect interpretation. If any provision is held unenforceable, the remainder will remain in full force.

Additional Notes

Valuer - Printed Name:

By:

Date:

Client - Printed Name:

By:

Date:

What a Financial Value Agreement Is and When It Applies

A Financial Value Agreement documents the agreed monetary value, consideration, or valuation methodology for a transaction, transfer, or reporting purpose between two or more parties. It typically defines parties, the financial amount or formula, payment terms, and any contingencies such as escrow, adjustments, or holdbacks. Organizations use this agreement to record negotiated valuations for asset sales, services, internal transfers, or tax reporting. Clear terms reduce disputes, support accounting and auditability, and establish the basis for downstream obligations such as payment, reporting, or lien releases.

Why a Clear Financial Value Agreement Matters

A concise, well‑structured Financial Value Agreement creates a shared factual record of value, protects parties from later disputes, and supports tax and audit filings. It clarifies payment timing, allocates risk, and documents conditions that adjust value.

Who typically completes a Financial Value Agreement

Different roles prepare or sign these agreements depending on transaction type and industry.

Real estate brokers and closing agents handling property value allocations, seller concessions, and buyer credits in sales and lease transactions.
Healthcare billing managers and finance staff when documenting value exchange for asset transfers, vendor arrangements, or third‑party reimbursements.
Corporate finance, controllers, and tax teams setting internal transfer pricing or documenting valuations for reporting and audit purposes.

Parties should confirm signatory authority and involve legal or tax advisors for material valuations or regulatory implications.

Core elements to include in a professional Financial Value Agreement

A complete agreement balances precise financial terms with clear administrative details so that valuation, payment, and compliance obligations are unambiguous.

Identifying Parties

Full legal names and entity types for each party, including organizational identifiers and contact details to ensure enforceability and proper attribution of obligations.

Declared Value

A specific dollar amount or a formula for computing value, stated with currency, rounding rules, and any adjustments or contingencies that modify the base amount.

Consideration Details

The nature of consideration exchanged (cash, services, credits), timing, and any escrow or offset mechanics that affect when value is treated as transferred.

Payment Terms

Due date(s), instalment schedule, interest on late payments, acceptable payment methods, and consequences for nonpayment or returned funds.

Representations and Warranties

Statements about authority, solvency, ownership of transferred assets, and confirmation that amounts reflect agreed valuation methods and disclosures.

Dispute and Governing Law

Designated governing state law and dispute resolution path—mediation, arbitration, or courts—plus venue and any fee allocation for enforcement.

Step‑by‑step: how to complete the Financial Value Agreement

Follow this sequence to prepare, review, and finalize the agreement with minimal back‑and‑forth.

01

Prepare draft: Populate parties, value, and payment terms before sharing.
02

Internal review: Have finance and tax review valuation and reporting impacts.
03

External review: Obtain counterparty and, if needed, legal sign‑off.
04

Execute: Collect signatures and retain the signed record with audit details.

How to configure an online signing workflow

Set up a predictable template and authentication flow to capture intent, attribution, and an auditable trail for each signed agreement.

Template field name and setup	Create reusable template fields for value, dates, party details and payment terms.
Authentication method for signer access	Use email link plus SMS or two‑factor for higher assurance when required.
Conditional field display and validation	Show adjustment fields only when applicable; add numeric validation to avoid omissions.
Bulk send and template reuse options	Enable bulk send for repeat transactions and populate with CSV data to speed execution.
Audit trail and retention configuration	Preserve timestamps, IP addresses, and completed PDF copies per your retention policy.

Where to send or file the completed agreement

After execution, distribute the signed agreement to all parties and store a certified copy for accounting and legal records.

Send to counterparty: Email or secure link to each party with certificate attached.
Deliver to finance team: Provide signed copy for invoicing and ledger entry.
Provide tax advisor: Share for any reporting or 1099 considerations.
Record when required: File with local recorder only if transaction triggers recording.

Digital signing and file format requirements

Use a secure eSignature platform that preserves audit trails, supports common document formats, and meets required compliance controls.

Recommended integrations: Salesforce, NetSuite, Microsoft 365, Google Workspace
Accepted file formats: PDF, DOCX, HTML, and Excel
Authentication options: Email link, SMS code, or advanced methods

Choose integrations and formats that match your document lifecycle and archival systems to ensure easy retrieval and auditability.

Common preparation errors to watch for

Mismatched party names or missing entity designators cause bank and legal rejections and can delay enforcement or payment for weeks.
Unclear consideration language — failing to define currency, rounding, or calculation formulas leads to interpretation disputes and audit findings.
Omitting effective dates or payment schedules increases collection risk and makes it harder to determine interest or late fees for accounting.
Not specifying governing law or dispute resolution forces parties into default litigation venues and adds time and cost to dispute resolution.

Penalties, reporting risks, and legal consequences

Information return penalties: IRC §6721 fines per form

Backup withholding: 24% withholding if TIN missing

I‑9 paperwork violations: Civil penalties per DHS rule

Contract enforcement risk: Arises from lack of authority

Tax audit exposure: Incorrect valuation raises inquiries

Fraud allegations: Intentional misstatement carries severe fines

Security, compliance, and audit considerations

In‑transit encryption: TLS 1.2/1.3 protected

At‑rest encryption: AES‑256 encrypted storage

Regulatory compliance: SOC 2 Type II and ISO 27001

Healthcare compliance: HIPAA BAA available

Electronic signature law: ESIGN and UETA compliant

FDA readiness: 21 CFR Part 11 supported

Key dates and reporting deadlines to consider

Define and calendarize effective dates, payment due dates, and any tax or information reporting obligations tied to the agreement.

Effective Date:

The date obligations begin, entered as MM/DD/YYYY

Payment due date:

Date when consideration must be received per the payment schedule

Provide W-9 upon request:

W-9 is supplied to payers on request for tax reporting

Form 1099‑NEC reporting:

Recipient and IRS copies due Jan 31 annually

Tax return deadline:

Individual income tax due April 15 (extensions possible)

Real customer examples of using Financial Value Agreements

These examples show how organizations use electronic agreements to document value, speed closing, and preserve compliance evidence.

Martin Properties — Tim Martin

Tim Martin, Founder at Martin Properties, used online agreements to finalize valuation acknowledgements remotely.

Mobile signing reduced turnaround time for signed acknowledgements.
"I can process and execute all of these documents online with 100% compliance and built‑in security. Whether on mobile or working offline, I can get forms back to their necessary parties efficiently."

Fertility Centers — John Butler

John Butler, Founder at Fertility Centers of Illinois, centralized signature workflows for financial agreements.

Consolidated storage improved audit readiness.
"The airSlate SignNow team has been exceptional, responsive, the API has been great, and we're extremely happy that we chose airSlate SignNow as a company."

Practical tips for accurate and efficient completion

Apply consistent templates, validation rules, and signing workflows to reduce errors and speed execution while preserving auditability.

Standardize your template language

Use a single approved template for recurring transactions to ensure consistent definitions of value, rounding, currency, and escalation procedures.

Validate numeric inputs

Add form validation for monetary fields to prevent miskeyed amounts and require both numerals and written amounts for clarity.

Capture signer identity

Require signer name, title, and organizational authority; use SMS or two‑factor authentication for high‑value agreements.

Archive with audit trail

Save completed PDFs with embedded audit details—timestamps, IP addresses, and certificate of completion—to support audits and disputes.

eSignature vendor pricing and feature comparison for executing agreements

A neutral comparison of starting prices and common feature availability to help organizations assess execution options for Financial Value Agreements.

	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 trial	Varies by vendor	Varies by vendor	Varies by vendor	Varies by vendor
Bulk Send	Yes (Business Premium)	Varies by plan	Varies by plan	Varies by plan	Varies by plan
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No

Frequently asked questions about Financial Value Agreements and eSigning

Answers to common legal, technical, and administrative questions encountered when preparing, signing, or storing Financial Value Agreements.

Need help? Contact support

Are electronic signatures legally binding?
Yes. Electronic signatures are legally enforceable under the ESIGN Act (15 U.S.C. §7001) and UETA where adopted, provided intent, consent, attribution, and retention requirements are met.
When is a notary required?
A notary is required only when state law or a transaction necessitates notarization; check the governing jurisdiction for deeds, certain affidavits, or when a notarized acknowledgment is contractually specified.
How do I correct a signed error?
If a signed agreement contains an error, execute an amendment or corrective addendum signed by all parties; do not alter the original signed copy after execution without a formal amendment.
Can I use remote notarization?
Many states permit remote online notarization with identity proofing and audio‑video recording; verify state notary rules and retention requirements before using RON.
Who must sign the agreement?
An authorized representative with signatory authority must sign. For entities, include printed name, title, and evidence of authority if required by corporate policy or law.
How should completed agreements be stored?
Store signed PDFs with the audit trail in a secure system with access controls, encryption, and defined retention consistent with IRS, HIPAA, or industry rules as applicable.

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