{"id":413703,"date":"2026-09-16T11:04:16","date_gmt":"2026-09-16T16:04:16","guid":{"rendered":"https:\/\/ability-fl-prod.internetbrands.com\/ability-law\/?page_id=413703"},"modified":"2026-09-16T11:54:33","modified_gmt":"2026-09-16T16:54:33","slug":"how-to-resolve-a-business-valuation-dispute","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/smallbusiness\/business-finances\/how-to-resolve-a-business-valuation-dispute.html","title":{"rendered":"How To Resolve a Business Valuation Dispute"},"content":{"rendered":"\n
\n

How To Resolve a Business Valuation Dispute<\/h1>\n\n
\n
\n By Balrina Ahluwalia, Esq.<\/a> | Legally reviewed by Catherine Hodder, Esq.<\/a>\n | Last updated\n
\n

Editorial Note: We earn a commission from affiliate partner links on FindLaw. Commissions do not affect the editorial integrity of our legal content.<\/p>\n\n <\/div>\n \n

\n \n <\/i>\n Legally Reviewed\n <\/summary>\n\n
\n

This article has been written and reviewed for legal accuracy, clarity, and style by FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with our editorial standards<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n\n

\n \n <\/i>\n Fact-Checked\n <\/summary>\n\n
\n

The last updated date refers to the last time this article was reviewed by FindLaw or one of our contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please contact an attorney in your area<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n<\/section>\n\n\n

\n
\n
\n

Key Takeaways<\/h2>\n

A dispute over business valuation<\/span> arises when interested parties disagree on a business\u2019s financial worth. Business valuation<\/span> is important when couples divorce, a business is sold or merged, or there\u2019s a partner or shareholder dispute<\/span>. Litigation attorneys and forensic accounting<\/span> experts can help resolve business valuation<\/span> disputes<\/span>.<\/p>\n\n <\/div>\n <\/div>\n<\/div>\n\n

\n

A business valuation<\/span> dispute<\/span> is one of the highest\u2011stakes conflicts someone can face. When you have legal rights to a portion of a company, its value is more than just a number. It\u2019s a figure that can shape your future, your security, and your ability to move forward. If that number seems off, or you suspect incomplete or manipulated data, you may need to challenge it. In situations like these, a valuation dispute<\/a> is often your best option to protect your financial future and the integrity of your business interests<\/span>. Understanding how these challenges work is critical to developing a winning strategy.<\/p>\n

This article explores the main circumstances where business valuation<\/span> disputes<\/span> arise. We review legitimate grounds for a challenge and walk through key aspects of these disputes. We\u2019ll also discuss the importance of working with a qualified advocate to help expose flaws and demand transparency in the valuation process<\/span><\/a>.<\/p>\n

If you suspect a faulty valuation, a lawyer can help you determine whether to pursue action. A litigation attorney licensed in your state<\/a> can help you understand your options and the processes involved in a successful challenge. That way, you can make a fully informed decision about how to proceed.<\/p>\n

In the meantime, let\u2019s start with the basics.<\/p>\n

What Is a Business Valuation<\/span>?<\/h2>\n

A business valuation<\/span> is an analysis that determines a company\u2019s value. Valuation experts<\/span>, like certified valuation analysts<\/span> (CVAs<\/span>)<\/a> or certified public accountants (CPAs<\/span>) with specialized credentials, typically perform them. Their valuations determine either fair market value<\/span> (FMV) or fair value<\/span>. Let\u2019s take a look at each one.<\/p>\n

FMV<\/h3>\n

Fair market value<\/span><\/a> is the estimated price a business would fetch on the open market. It often includes discounts reflecting market realities for minority shares. Experts typically use FMV for tax and estate matters<\/a>, as well as standard company sales and voluntary buyouts.<\/p>\n

Fair Value<\/span><\/h3>\n

Fair value<\/span> typically excludes price discounts to protect minority owners. Experts use fair value<\/span> when a court or contract requires them to<\/a> determine the company\u2019s value based on the legally equitable price for each share.<\/p>\n

Shareholder and partnership disputes typically require fair value<\/span> conclusions. Either state law<\/a> or the contract governing the dispute dictates the standard to use before the analysis begins.<\/p>\n

Data Review<\/h3>\n

The valuation process<\/span> generally involves reviewing the company\u2019s data to estimate its value. This can include examination of the company\u2019s:<\/p>\n