Key takeaways
Purpose and reliance drive the fee more than turnover.
A valuation the ATO, a court or another party will rely on needs more evidence and explanation than one used only for internal planning. That scope, not the size of the business, is the main cost driver.
IBV™ engagements have fixed professional fees.
A Calculated Value is a fixed $2,450 + GST, a Limited Scope Conclusion of Value is a fixed $4,950 + GST, and a Full Scope Conclusion of Value is quoted. Fees are agreed in writing before work begins.
Complexity adds work, and the quote should say why.
Multiple entities, several classes of shares, retrospective dates, unreliable records or specialist assets increase the work required. A good quote explains what is included and what is not.
Fixed fees remove an incentive that hourly billing can create.
When the fee is fixed and unrelated to the value concluded, there is no reason to extend the work or favour a particular answer, and you know the cost before you commit.
The cheapest figure is not always the least expensive outcome.
An informal estimate that cannot withstand ATO, legal or buyer scrutiny can cost far more in time, tax or negotiation than a properly scoped valuation.
The short answer
There is no single price for a business valuation, because there is no single type of valuation. In Australia, fees range from a few hundred dollars for an informal appraisal to many thousands for a detailed report on a complex group. Where your valuation sits in that range depends mainly on three things: why you need it, who will rely on it and how much work is needed to support the conclusion.
At IBV™, every engagement has a fixed professional fee agreed in writing before work begins:
Calculated Value and Limited Scope engagements are generally delivered within 5–7 business days of receiving complete information and a signed engagement. Full scope timing is agreed at engagement. The Fixed Professional Fees page compares the three side by side.
Calculated Value: a fixed $2,450 + GST. One agreed method applied to around three years of records, for situations where a full conclusion is not required.
Limited Scope Conclusion of Value: a fixed $4,950 + GST. The most common engagement, covering most transactions, succession, restructuring, tax and family law matters.
Full Scope Conclusion of Value: quoted. For complex and high-value businesses, including startup valuations.
What actually drives the cost
Purpose and reliance. The single biggest factor is how the valuation will be used. If only you will rely on it, less evidence and explanation may be needed. If the ATO, a court, the other party in a family law matter, a co-owner or a buyer will examine it, the work must be thorough enough to withstand their questions. That is why IBV™ recommends the engagement type based on purpose and reliance, not turnover.
The interest being valued. Valuing a whole operating business is different from valuing a minority shareholding with restricted rights, units in a trust or a particular class of shares. Interests with special rights or restrictions need more analysis.
Structure and number of entities. A single company is simpler than a group with several trading entities, a property trust and intercompany loans. Each additional entity adds records to reconcile and relationships to understand.
Quality of records. Clean, reconciled financial statements and tax returns reduce the work. Missing years, inconsistent accounts or significant related-party arrangements increase it.
Valuation date. A current valuation is generally simpler than a retrospective valuation, which requires the valuer to reconstruct the information available at a past date.
Specialist assets. Where property, specialised plant or intellectual property is material, separate valuations may be required, adding to the overall cost.
Fixed fees versus hourly billing
Many valuers bill by the hour, which can make the final cost hard to predict. Hourly billing also creates an awkward incentive: more time means a larger invoice, regardless of whether the extra work adds value.
IBV™ uses fixed professional fees. You know the cost before you commit, the fee does not change with the value concluded and there is no reason to extend the engagement. The IBV™ Independence Guarantee confirms no commissions, no hourly billing and no fee linked to the value. Payment is made on signing the engagement letter.
Signed
A clear valuation conclusion starts with an agreed purpose, relevant evidence and disclosed assumptions. The report identifies the interest valued and explains the reasoning behind its conclusion.
What you should receive for the fee
Whatever you pay, you should know exactly what you are getting. Before you engage anyone, ask:
At IBV™, Limited Scope engagements include a Valuation Completion Memorandum incorporating a draft report and discussion covering assumptions and any limitations, before the signed report is issued.
What engagement type is proposed, and what kind of opinion will it produce?
What standard does the work follow or align with? IBV™ voluntarily adheres to APES 225 Valuation Services.
What records will be needed, and what happens if some are unavailable?
Is there a draft for discussion before the final report?
What is excluded, such as meetings with other parties or additional scenarios?
When will the report be delivered?
Why IBV™ does not offer cheap estimates
Some providers offer low-cost appraisals or online estimates. These can satisfy curiosity, but they are not valuations: they rarely verify records, explain adjustments or document their reasoning, and they are not designed to be relied on by anyone else. Our article on business appraisal vs business valuation explains the difference.
IBV™ does not prepare estimates or appraisals. Our lowest-cost engagement, the Calculated Value at $2,450 + GST, applies a defined method to verified records, so even the simplest IBV™ engagement is a valuation, not a guess.
Are valuation fees tax deductible?
This is a common question, and the answer depends on why the valuation was obtained. A fee connected to ongoing tax compliance may be treated differently from a fee connected to a capital transaction, such as a sale or restructure, which may form part of the cost base or be non-deductible. Because the treatment depends on your circumstances, confirm it with your tax adviser. You can read general guidance on the ATO's market valuation page.
Typical costs of getting it wrong
It is worth weighing the fee against what a poorly supported figure can cost. Some common examples:
In each case, the professional fee for a properly scoped valuation is usually small relative to the amount at stake.
Tax: if the ATO reviews a market value and finds it unsupported, the result can include amended assessments, interest and penalties, as well as the time and adviser fees involved in responding.
Family law: a valuation that one party can easily discredit can lead to further reports, delay and higher legal costs for both sides.
Sales: pricing too high can leave a business on the market until buyers lose interest; pricing too low leaves money on the table permanently.
Co-owner changes: a figure one party sees as unfair can damage relationships and lead to a costly renegotiation later.
How to keep the cost down
You can help keep a valuation efficient, and avoid moving to a more extensive engagement than you need:
Well-organised information shortens the work and reduces the number of limitations the report needs to disclose.
Be clear about the purpose and readers from the start, so the right engagement is recommended first time.
Gather records early: financial statements, tax returns, management accounts, the lease and key contracts.
Explain unusual items such as one-off income, personal expenses and related-party arrangements before the valuer asks.
Involve your accountant so questions about the accounts can be answered quickly.
Agree the valuation date with your advisers before engagement, particularly for tax matters.
Getting an accurate quote
The fastest way to an accurate fee is to explain your purpose, who will rely on the valuation, what you own and when you need the report. The valuation selector on the Fixed Professional Fees page recommends an engagement in two questions, or you can book a Free Valuation Call and we will confirm the scope and fixed fee in writing before any work begins.
Sources and further reading
Frequently asked questions
How much does a business valuation cost in Australia?
Fees vary widely with purpose, reliance and complexity. IBV™ charges a fixed $2,450 + GST for a Calculated Value, a fixed $4,950 + GST for a Limited Scope Conclusion of Value and a quoted fee for a Full Scope Conclusion of Value.
Why does the purpose of the valuation affect the cost?
A valuation relied on by the ATO, a court, another party or a buyer needs more evidence, analysis and explanation than one used only for internal planning. That additional scope is reflected in the fee.
Does a bigger business always cost more to value?
Not necessarily. Turnover alone is a poor guide. The number of entities, the interest being valued, the quality of records and the purpose usually matter more than the size of the business.
Are IBV™ fees fixed or hourly?
Fixed. The fee is agreed in writing before work begins, does not change with the value concluded and is not billed by the hour. Payment is made on signing the engagement letter.
Do IBV™ fees include GST?
No. All IBV™ fees are quoted plus GST.
What is the minimum fee for an IBV™ valuation?
The minimum engagement is a Calculated Value at a fixed $2,450 + GST, which applies one agreed method to around three years of records.
Why is a Limited Scope valuation the most common choice?
It produces a Conclusion of Value suited to most transactions, succession, restructuring, tax and family law matters, while keeping the scope and fee proportionate. Limited Scope is a defined engagement type under APES 225, which IBV™ voluntarily aligns with—not a lesser valuation.
Are business valuation fees tax deductible?
It depends on the purpose of the valuation and your circumstances. Fees connected with capital transactions may be treated differently from ongoing compliance costs. Confirm the treatment with your tax adviser.
Source: ATO — Market valuation of assets
How long does a valuation take?
IBV™ Calculated Value and Limited Scope engagements are generally delivered within 5–7 business days of complete information and a signed engagement. Full scope timing is agreed at engagement.
Is a free online valuation calculator good enough?
A calculator can help you think about value, but it cannot verify records, assess risk or document reasoning. It is not a valuation and should not be relied on for tax, legal or transaction decisions.
A clear, independent view of value — with the evidence behind it.
- Understand the conclusion — and what drives value.
- Gain an independent perspective. Move forward with confidence.
- Benchmark your business against industry performance.
- Identify strengths, risks and opportunities through SWOT analysis.
WHAT YOU GET IN A LIMITED SCOPE VALUATION REPORT
Inside your IBV™ report
Executive Summary
Conclusion of value · Method selected · Valuer qualifications
Detailed Report
Maintainable earnings · Cap rate / multiple · Premise of value
The Evidence Pack
SWOT analysis · Top Performers Report · RAVDA score
APES 225 voluntarily aligned. Report depth and supporting analysis follow your agreed package and engagement scope.
Free Valuation Call
