IACVS hosts its 2019 World Council Meeting at the Rendezvous Hotel Singapore on Oct. 9, 2019. The WCM is a meeting of IACVS leaders to review global issues and initiatives for the coming year. Almost 20 participants from United States, Canada, China, Malaysia, Romania, Korea, Singapore etc. joined this meeting.

Opening the meeting, Mr. William Hanlin invites all attendees to introduce themselves, then Mr. Hanlin introduced the new alliances for member benefits and resources for BV practice areas.  He also discussed the IVSC (International Valuation Standards Council) Quality Mark that will become available in the next 12 months.  This Quality Mark will mean that IACVS members can claim to be familiar with International Valuation Standards. 

Meanwhile, Mr. Nick Talbot, CEO of IVSC, dropped in our meeting room and shared the IVSC’s development of this year and trends in the future.

Michael Badham, executive director of iiBV (IACVS Observer Member), introduced the development of course curriculum and costs.  IACVS intends that the iiBV courses is a resource to individual members for continuing education opportunities.  The iiBV online course for IVSC standards will be a significant element for those holding the ICVS to be able to use the IVSC Quality Mark in their professional practices.  Non-IACVS BV candidates who successfully complete iiBV courses may apply for credit towards the requirement of members’ designation (eg: IACVS for ICVS designation). 

Ravi Ramakrishnan, president of C&K Management Company (IACVS Observer Member), gave an update to the ICVS online training course. Work is progressing to map the ICVS exam questions to the ICVS training materials in order to make it much easier for candidates to study for and pass the ICVS examination.

IACVS has promoted the data and educational resources of BVResources (IACVS Observer Member) for a number of years. Mr. David Foster, CEO of BVR Resources, presented at the WCM about these resources. David indicates that data for completed M&A transactions is a priority for collection at BVR so that such transaction data can be available in many parts of the globe.  BVR will announce an initiative with IACVS for the collection of this data using the Charters and Chapters as collection points. The initiate will include a monetary subsidy from BVR for the data collection.  BVR has an agreement with IACVS to allow IACVS translate some of its BV files to local languages for local users.

Elvin Fernandez, the president of BVAM, introduced the development of the IACVS Malaysia charter. They have cut the 5 days training course to 3 days to make it more available for participants to join the class. This requires advanced study prior to the ICVS training, as well as online access to instructors to review questions and resolve valuation theory matters. BVAM will also host the Intangible Assets Conference on October 15 in Kuala Lumpur.

George Badescu, founder of ANEVAR, is the IACVS ambassador in Romania.  For his over 60 years’ contribution to the valuation industry, he was given the Honorary Membership by IACVS.  George shared his life time work in valuation career and he wants to help create uniform valuation standards in Southeast European countries. He told everyone “Knowledge is not private property, we have to share.”  IACVS and ANEVAR will sign a mutual cooperation Memorandum of Understanding (MOU) be the end of 2019.

Jennifer Chen, long-time IACVS member and ambassador to the valuation profession in Taipei, shared the development of IACVS in Taipei for the recent 3 years and the work she has done to promote the ICVS credential to local valuers.  Jennifer has played a key role for IACVS to reconnect IACVS and the Chinese Asset, Business and Intangible Asset Valuation association. The CABIAV was established more than 16 years previous as China and Asia began to realize the importance of business valuation for the development of business.

Wilson Lim and Don Prosard, IACVS Singapore Chapter representatives, shared the valuation in Singapore and the questions they meet when doing valuation projects. Their goal is to push valuation profession to be a higher value to the business community in both Singapore and Cambodia.

Su Zheng Yu and Zhang Chi, manager of Beijing Xinliu Huigu Technology Co., Ltd, (IACVS Observer Member) introduced their company has developed a patent – protected online valuation system Manjusri Valuation Expert System, which can automatically generate valuation reports for SMEs (non-listed companies) when they searching for financing. Currently, 70% of the 34 Equity Exchange Centers (OTCs) in China use the system to provide valuation and value-added services for their listing and display companies. At the same time, Flow Group is committed to a comprehensive upgrade of the English system, seeking international cooperation through IACVS.

Mr. Zhu Jun, representative from Beijing Zhonghe Appraisal Co., Ltd, showed their valuation information service system, Computer Aided Valuation system (CAVS) (M&E) and Financial Professionals Resources (FPR) to all participants. Mr. Zhu Jun is a long-time members of IACVS and frequently represents the interests of China and IACVS at various forums.

Even though we left limited time to Ms. Chen Qian and Mr. Jiang Dongyong, representative from BeiFang Yashi Appraisal Co., Ltd (IACVS Observer Member), they showed us a great work on valuation projects they have done. According to their experience, it’s very important to cooperate with the local valuers from overseas when doing major cross-border projects. It’s also important to have a good teamwork and clear arrangement when doing big valuation project within required time. All attendees had a warmly discussion and asked many questions on these case project.

We really have no time and feel sorry for not playing the video from IACVS Africa chapter, while we decide to share it to all attendees by e-mail.

The International Valuation Standards Council (IVSC) is the global non-for –profit body responsible for setting the International Valuation Standards (IVS). The goal of IVSC is to build trust in valuation by establishing one set of globally consistent, high-quality valuation standards and by supporting the advancement of the valuation profession. In achieving this, the IVSC aims to support economic activity, strengthen financial markets and protect the public interest.

Mr. William Hanlin (CEO & President, IACVS) and Mr. Bob Brackett (Secretary General, IACVS) attended the 2019 IVSC AGM hosted at the Rendezvous Hotel in Singapore on Oct. 7-9. Almost 300 participants from United States, Canada, France, Russia, Japan, China, Malaysia, Romania, Korea, Singapore etc. joined this meeting. They want create the valuation standards for their own country through IVSC platform. They had a warm discussion on international valuation standards and valuation profession goals for 2020.

During the three-day annual conference, all of IVSC members from the technical committees, IVSC council had a hot discussion on tangible assets, business valuations and financial instruments etc. The IVSC Advisory Forum convened representatives from all member organizations to focus on issues including the widespread use of IVS worldwide, the strengthening of the professionalization of corporate value assessments, and the role of technology in future assessments. Besides, Sir David Tweedie announced he would retire from the president of the board after seven years and two months profession work. During the period, David has been committed to advancing the development of IVSC and enhancing the professionalism of global valuation. His input and dedication to norm-setting has enabled international standards to be translated into ten languages and applied in 139 countries.

Followed the IVSC AGM, IACVS hosted its 2019 World Council Meeting at the same hotel in the afternoon of Oct. 9. More than 20 participants from IACVS charter/chapter representatives and invited guests joined the meeting. 

The International Valuation Standards Council (IVSC) is the global non-for –profit body responsible for setting the International Valuation Standards (IVS). The goal of IVSC is to build trust in valuation by establishing one set of globally consistent, high-quality valuation standards and by supporting the advancement of the valuation profession. In achieving this, the IVSC aims to support economic activity, strengthen financial markets and protect the public interest.

Mr. William Hanlin (CEO & President, IACVS) and Mr. Bob Brackett (Secretary General, IACVS) attended the 2019 IVSC AGM hosted at the Rendezvous Hotel in Singapore on Oct. 7-9. Almost 300 participants from United States, Canada, France, Russia, Japan, China, Malaysia, Romania, Korea, Singapore etc. joined this meeting. They want create the valuation standards for their own country through IVSC platform. They had a warm discussion on international valuation standards and valuation profession goals for 2020.

In the field of business valuation, IVSC and IACVS actively promote the normative application of valuation principles, methods and models. In additional to national laws and regulations, IACVS required every corporate member to comply with professional valuation standards issued by IVSC, IASB and FASB.

Followed the IVSC AGM, IACVS hosted its 2019 World Council Meeting at the same hotel in the afternoon of Oct. 9. More than 20 participants from IACVS charter/chapter representatives and invited guests joined the meeting. 

The International Association of Certified Valuation Specialists, in conjunction with the Center for International Business Valuation, has added an advanced level to the ICVS credential; valuators can now earn the ICVS with Advanced Studies in Financial Instruments (ICVS-A). The curriculum for the ICVS-A, which focuses on fair value concepts, was developed by Dr. Joel M. DiCicco, CPA, ICVS, a full-time member of the Executive Business and Department of Accounting faculty at Florida Atlantic University’s College of Business. This advanced credential in the fair value of financial instruments can be earned along with the initial ICVS or can be added to enhance a current ICVS credential.  Upon completion of the training program, students can participate in a credentialing exam comprised of a case study and valuation problems concerning derivative products. The ICVS-A designation requires an understanding of valuation techniques for various financial instruments, ranging from basic securities to complex derivative constructs. In addition to the valuation of financial instruments, the training and optional exam covers fair value accounting under both US GAAP and IFRS, along with the use of Python programming language (the language of choice for valuing financial derivatives).

Critical learning objectives of this ICVS-A training program include:

* Applying accounting standards for fair value and understanding the history behind the fair value movement

* Ascertaining the purposes behind the issuance and development of many complex derivatives

* Utilizing valuation techniques for financial products

* Programming using the fundamentals of Python

The inaugural live training, presented with the Southeast Chapter of Business Appraisers, will be held in Orlando, Florida, USA, on December 16, 17, and 18. Business Valuators with a credential such as the ICVS, ASA, ABV, CICBV, or CVA are welcome to attend. These materials are advanced in format and require students to have a thorough understanding of business valuation in order to keep up with the instructors.

Note that the ICVS-A exam is separate from the training. Students must register separately for the exam and additional study is recommended prior to taking the test.  A passing score is required to earn the ICVS-A designation.

Registration Link https://www.mdgu.us/course/ICVS-A

The center's website about the training http://www.cfibv.org/icvs-a

Course Flyer 

Contact Heidi (heidi@diciccofamily.net) or  http://www.cfibv.org/ for more specific information about the training, or Joel (joel@diciccofamily.net) for more specific information on the curriculum and credential.

Mr. Bob Brackett, the secretary-general of IACVS, attended and presented a paper (Acceleration in the Development of the Valuation Profession) at the recent ICVPME 11th International Conference hosted at the CORDIS Hotel in Auckland, New Zealand on 9th - 11th September 2019. Participants from China, USA, UK, France, Australia, New Zealand, Russia, Romanian, Japan, Malaysia, Saudi Arabia and Nigeria participated this influential international conference.

The conference topics addressed many of the most important and challenging professional issues facing valuators today. From changes in valuation regulation and standards to EVM’s, valuation education, the aging of practitioners through valuation in a truly international venue. The attendees had a unique opportunity to discuss these issues with instructors using current examples from their own practices. The agenda included presentations with question and answer sessions as well as professional roundtable discussions.

Mr. Bob Brackett was the first speaker at the conference. Many of his points were echoed by the following presenters who used examples from their own recent experience to reinforce the importance and timeliness of the issues. The 2 speakers from the CBV Institute provided an excellent summary of Crypto assets, clarifying the various abbreviations and terminologies for attendees. Much of the conference discussed the use of valuations in a financial reporting arena, a relatively new area for the property, plant and equipment valuation specialists in attendance.

During the conference, Mr. Bob Brackett also spoke with many of the other experts concerning business valuations and introduced the development of IACVS and the ICVS credential to them.

ANEVER Conference - September 6, 2019, Bucharest

Mr. William Hanlin, President and CEO of IACVS, attended and presented a paper at the international conference organized by ANEVAR - the National Association of Authorized Romanian Valuers, in partnership with the Romanian Association of Banks - ARB and the Romanian Banking Institute – IBR at Bucharest on September 6, 2019. About 300 licensed valuers and professionals involved in banking services from China, USA, UK, France, Australia, New Zealand, Russia, Romanian, Japan, Malaysia, Saudi Arabia and Nigeria etc. joined this influential international conference.

In the morning of September 6, Ms. Dana Ababei (president of ANEVAR) and Nicholas TALBOT (CEO of IVSC) gave a warm welcome and opening speeches.

Mr. Hanlin presented a paper entitled “Valuation of Intangible Assets for Mortgage Purposes”. His paper was focused on the types of intangible assets that lenders can use as loan collateral. His speech was warmly received by the experts at the conference.

During the conference, Mr. Hanlin also talked with other experts on business valuation, and introduced the development of IACVS and ICVS credential to them.

SMEBIZ – Published in The Star, Kuala Lumper, Malaysia

Monday, 26 Aug 2019 By Thean Lee Cheng

EVERYDAY, business entities are bought and sold.

And with more focus given to the SME sector, small businesses could see more (M&A) corporate activities in the coming days. As such, there is a greater need for SME business valuation in the industry.

At a Business Valuation Seminar held last month in Malaysia, it can be observed that there is growing interest from the business sector with regards to generally accepted methodologies used to value the new breed of firms in the technology sector and how their valuations are used in fundraising, sale and merger exercises.

The event was organised by the Business Valuation Association of Malaysia (BVAM), which was set up in 2015.

William Hanlin Jr, president of the International Association of Certified Valuation Specialists in Toronto, Canada, says there are essentially two types of people in the SME segment – current business owners, as well as those who want to own their own small-scale business.

The IACVS association trains and promotes uniform business valuation theory and models around the globe.  

He notes that SMEs form the backbone of a country’s economic power base, and while the owners of these entities are contented to remain small or medium in size, many eventually do become big corporate players.

It stands to reason then that these business entities must be valued based on a set standard and that is what BVAM is advocating.

For more inforamtion, you may visit The Star Online https://www.thestar.com.my/business/smebiz/2019/08/26/need-for-business-valuation-for-smes#YXYOg1gyB7rZfT6J.41(Please paste the link to the browser if you can't open directly)

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Valuation professionals met on July 23 for a seminar to review a case-study exercise at the National Association of Valuation for Malaysia.  The case study was attended by more than 55 professionals: many are seasoned professionals, as well as many are new to the valuation profession.  

In this seminar, Bill Hanlin (IACVS president) went through the process of performing a due-diligence engagement where the buyer of a retail pharmacy required a closer look at the business records.  These records included financial history, future expectations for earnings, working capital needs, contract terms that would impact future rents, employee pay and benefits (union contract), as well as supply contracts and projected cash-flows.

During the seminar attendees discussed various aspects of the actual valuation portion of the engagement, how the engagement was reported to the client, and the discussions that valuation professionals can have with their client and attorney to make this type of engagement the most valuable for all the parties (client-buyer, bank and legal counsel). Attendees reviewed the administration of the engagement, including the terms of fees, reporting and delivery to the client.

The importance of correct future cash flows was stressed as, in the case-study, the buyer was expecting to leverage the purchase (borrow from the bank).  This meant that the buyer needed professional assurance that the purchased business would repay the bank debt and also provide a higher level of compensation to the buyer.

The IVSC 2019 AGM, hosted by the Singapore Accountancy Commission (SAC), will take place in one of the world's most dynamic and international markets for business and finance at the Rendezvous Hotel Singapore on October 7-9. More than 150 senior leaders from the valuation, business, finance and regulatory worlds are expected to join us for this year's AGM, during which all of the IVSC's standards boards will meet.

IACVS is a member of IVSC. Members from IACVS can enjoy the member price.  The original registration fees are ￡128.51, while it’s ￡85.87 for IACVS existing members. 

Seats limited. First come, first served. 

Registration link

IACVS will host its 2019 World Council Meeting at the same hotel on Oct. 9. All IACVS charter leaders, representatives, overseas observer members, strategic alliances, along with other invited guests will join this meeting. The aims of this event is leveraging the international platforms, sharing international experience and building international networks. If you’re interested in attending this meeting, please contact info1@iacvs.org 

Bangalore, India saw an overwhelming response to the one day Masterclass “An Insight into Business Valuation” organized jointly by Khong & Jaafar group of Companies and Utkrusta Advisors LLP; powered by IACVS on the 25th of July, 2019. The masterclass was attended by professional of various fields.

Mr. William Hanlin Jr. addressed the delegates about how International investors look to Business Valuation of distressed assets and the valuation of intangibles with specific reference to distressed assets following which Mr. Elvin Fernandez spoke on Valuation Standards. There were also local speakers, professionals in their fields; namely Mrs. Chitra Nirmala, who spoke about the Impact & Usefulness of Business Valuation on decisions of Committee of Creditors & reaction of market on such sale offers by them; Mr. Rajiv Singh who gave insight into the valuation of distressed assets in India – detect & attack basis & Mr. T. Chandrashekhara who spoke on India – specific departures required in IVS 300 where he addressed the gathering on valuation in India.

All the sessions were very interactive and helped everyone have an overview of how Business Valuation happens internationally and what steps need to be taken to improve the avenue for this domain in India. Towards the end of the day, the delegates left well informed, looking forward to more such educative sessions by the IACVS in future.