Accredited in Business Valuation

What is Accredited in Business Valuation?

Abbreviated as ABV, accredited in business valuation is a professional designation that American Institute of Certified Public Accountants (AICPA) grants to those who specialize in calculating the business value.

It requires applicants to complete the application process, pass the exam, and meet basic business education and experience requirements. Once passed the exam successfully, candidates get to use the ABV designation along with their names, which helps improving reputation, job opportunities and salaries.

Understanding Accredited in Business Valuation

The accredited in business valuation credential is rewarded to the certified public accountants who showcase substantial skill, knowledge and experience in business valuation. The study program covers the standard business valuation process, quantitative and qualitative analysis, professional standards, Valuation Analysis and other topics like financial reporting and litigation.

Those with this designation get to work with consulting firms, business valuation firms, and other business that deal with financing value.

Accredited in Business Valuation Examination

The exam gets conducted by computer and is divided into two parts. Both the parts should be passed in the 12 months to get ABV credit. Every candidate is provided 3 hours and 15 minutes to finish each section, along with a 15-minute break.

The exam has 90 multiple-choice questions in every module. To analyse the aptitude skills and the competence to apply valuation methodology, there would be 12 case studies questions with multiple-choice answers.

Requirements for Accredited in Business Valuation

Those who are looking forward to getting this accreditation should have an authentic CAP license. Or, a certificate issued by the adequate state authority would work as well. Candidates will have to pass the ABV examination.

However, there are some exceptions to this term as well. For instance, the following people don’t have to give the exam:

• Accredited member of the ASA
• Certified financial actuary holders
• Accredited senior appraiser credential holders
• Chartered business valuator credential holders

Apart from that, every three years, the ABV professional has to complete at least 60 hours of consistent professional education. They should also pay the annual fee.

Furthermore, the experience and education requirements have been jotted down:

• Business Experience

The candidates should have at least 150 hours of business valuation experience within the 5 years Range of preceding the credential application date. Candidates can also apply 15 experience hours at a maximum by completing the hands-on BV case study track at the AICPA Forensic and Valuation Services Conference.

• Education Requirement

ABV applicants should complete 75 hours of valuation-related continuing professional development (CPD). All hours have to be acquired within the 5 years range of preceding the ABV application date.