One company, two different briefs
An owner may ask what the whole business could sell for today. Another may ask what a particular holding was worth on an earlier date under an agreement. These are not interchangeable instructions. A useful first step is a written brief that identifies the shares, relevant date, intended users and purpose. Where the dispute turns on legal interpretation, the solicitor should establish the instructions the valuer is being asked to apply.
Build a disagreement map
Separate disputed facts from disputed assumptions. A missing bank statement is an evidence issue; a disagreement about sustainable profit is an analytical issue; the meaning of a transfer clause is a legal issue. Put each item in a short schedule with the evidence available, the question outstanding and the person responsible for resolving it. This can make the financial discussion more focused without claiming to settle the underlying dispute.
An illustrative comparison
Suppose one analysis uses last year’s profit and another uses the latest forecast after a major customer departure. The figures may diverge before any multiple is discussed. Ask which information was available at the relevant date and what the instructions require. The example shows why a valuation difference should be explained through the inputs and brief, rather than dismissed as a difference of opinion.
Commission the right role
Clarify whether the professional is advising one party, preparing an agreed independent analysis or being considered for a formal expert role. Those assignments have different requirements. Do not assume that a commercial report is suitable for court use. Agree the scope, conflicts review, information-sharing process and permitted reliance before work starts. A solicitor should advise on the dispute process and any legal consequences.
Prepare for the conversation
- Identify the exact holding and valuation date.
- Record the agreed instructions and unresolved legal questions.
- Create one list of disputed evidence and assumptions.
Further reading: ICAEW: defining a business and share valuation assignment.
General preparation guidance, not a valuation opinion or legal or tax advice. Any assignment is subject to an agreed scope, suitability and intended-use review. Examples are illustrative, not client cases.