Valuations may be required (for tax, investment, development and other reasons) or they may be requested because the parties involved wish to identify value. Common reasons for obtaining a business valuation are:

Allocation of purchase price Bankruptcy proceedings Bonding capacity Breach of contract claims Breach of warranty Buy-Sell agreement Charitable donations Compensation analyses or personal injury Condemnation and inverse condemnation Death and taxes Deceptive and unfair trade practices Dissenting stockholders actions Dissolution of marriage Diversion of corporate activities Enforcement of covenants not to compete ESOP/ESOT Establishment of Family Limited Partnerships Estate planning and gifting Estimates of punitive damages Financial fraud and misrepresentation Financing

Going public (IPO's) or private Impact of nuisance businesses (dumps, salvage yards, gas stations, X-rated business) Internal management decisions Key man valuation issues Loss of business opportunity Loss or theft of customer lists or trade secrets Lost profits or future earnings Marketability and minority discounts Matters of corporate divorce, i.e., dissolution of corporations, partnerships, withdrawal of shareholders and force-outs (including employment discrimination and ADA claims) Partnership disputes Price fixing or anti-trust matters Sales or purchases Strategic acquisition Valuation of intellectual property Wrongful franchise termination