What Businesses Provide Business Valuation Service: The 6 Categories Owners Should Know (2026)

Six categories of firms answer the question of what businesses provide business valuation service: independent valuation firms (Kroll, Stout, Mercer Capital), Big 4 transaction services practices (Deloitte, PwC, EY, KPMG), mid-tier CPA firms with valuation arms (RSM, BDO, Grant Thornton), boutique business appraisers, M&A advisors with in-house valuation desks, and online software platforms (BizEquity, Equidam, Eqvista). Fees range from about $500 for a software output to $500,000 for a litigation-grade opinion, and the right pick depends on whether the owner needs a court-defensible appraisal or a market price for a sale.

Context: Why This Question Matters

Owners ask this question when they hit a moment that demands a number on the business: an ESOP installation under ERISA, an estate or gift filing under IRS rules, a divorce, a buy-sell agreement triggered by a partner exit, a 409A stock option grant, a fairness opinion before a board vote, or, most commonly, the decision to sell. The category of firm matters because the IRS, the Department of Labor, family court judges, and acquirers each weigh appraisals differently. A $1,500 software report is fine for a back-of-envelope check and useless in front of an ERISA fiduciary.

The other reason this question matters is fee variance. The same mid-market manufacturer can be valued for $8,000 by a boutique appraiser, $45,000 by a national independent firm, or $180,000 by a Big 4 transaction services practice. Owners who do not understand the categories overpay or, worse, buy a cheap report that gets rejected by the IRS and forces a redo at the litigation rate.

The Detailed Answer

1. Independent Valuation Firms

These are firms whose sole or primary business is appraisal. The category leaders include Kroll (the brand that absorbed Duff & Phelps), Stout, BVA Group, Marshall & Stevens, Mercer Capital, American Business Appraisers, FAS Capital, J.S. Held, and Veris Consulting. Houlihan Lokey runs a financial advisory practice that operates in the same space for fairness opinions and ESOP work. These firms are the default choice when a third party with no economic interest in the transaction has to sign the opinion. Common use cases: ESOP fairness opinions, ERISA Section 3(18) adequate consideration opinions, fair market value under IRS Section 409A, estate and gift tax filings under IRS Pub 561, purchase price allocations under ASC 805, and litigation support. Typical fees for a mid-market business run $15,000 to $75,000, and complex or litigation engagements run $100,000 to $500,000.

2. Big 4 Accounting Firms

Deloitte, PwC, EY, and KPMG each run transaction services and valuation practices. The work is performed by credentialed appraisers (ASA, ABV, or CFA) inside the firm and is typically used for the largest deals, cross-border transactions, public-company financial reporting valuations, and any engagement where the buyer or auditor wants a globally recognized brand on the opinion. Fees usually run $75,000 to $300,000 for a single engagement and climb higher for multi-jurisdiction work. Owners of businesses under $100 million in enterprise value rarely need Big 4 valuation, and the gap between what Big 4 charges and what a national independent charges for the same opinion is real money.

3. Mid-Tier CPA Firms With Valuation Practices

RSM, BDO, Grant Thornton, Crowe, Baker Tilly, CohnReznick, Marcum, Mazars, Eide Bailly, and Plante Moran all run dedicated business valuation groups inside their broader accounting platforms. Many of their appraisers carry the ABV credential issued by the AICPA. Fees typically run $25,000 to $100,000. This category is where most mid-market owners land for estate, gift, and 409A work because the firm often already does the company’s audit or tax return and the relationship lowers friction. The trade-off: independence challenges can arise if the same firm signs the audit and the valuation, so owners need to confirm the engagement letter scope.

4. Boutique Business Appraisal Firms

Smaller specialist shops serve the lower middle market and small business segment. Examples include Practical Valuation, Empire Valuation Consultants, BCC Advisers, and a long tail of regional appraisers listed in the NACVA and ASA member directories. Fees usually run $5,000 to $25,000, and the appraisers typically hold CVA (Certified Valuation Analyst, NACVA) or AVA (Accredited Valuation Analyst) credentials. For businesses under $5 million in revenue, this is often the correct category. The risk is variance in quality; the credentials filter out the worst, and the engagement letter should spell out USPAP compliance.

5. M&A Advisors With In-House Valuation

Lincoln International, Houlihan Lokey, William Blair, Capstone Partners, Madison Park Group, Greenhill, and Lazard’s middle market group are examples of M&A firms that produce valuations as part of a sell-side process. The output is not a USPAP appraisal report; it is a market price estimate calibrated to what acquirers will pay today. The valuation is paid for inside the success fee on a closed deal, which makes the engagement free at the front end and aligned to closing. Owners who plan to sell within 12 to 24 months should get this kind of valuation, not an appraisal report. CT Acquisitions sits in this category for the sub-$50 million segment.

6. Online and Software-Based Tools

BizEquity, Equidam, Eqvista, ValuAdder, Business Valuation Resources, ExitGuide, and Capstone Valuation publish online tools that produce a valuation from a financial input form. Prices run from free (lead-magnet versions) to about $5,000 for a written report. The output is mechanical and not court-defensible; the IRS, the Department of Labor, and most acquirers will not accept a software valuation as the basis for a tax filing, an ESOP, or a purchase price. The legitimate use case is internal planning, board prep, or an owner trying to size whether the business is closer to $2 million or $20 million before paying a real appraiser. Carta is the dominant 409A provider for venture-backed cap tables, and Aranca is a specialist alternative.

The Credentials That Decide Defensibility

Five credentials matter when the valuation has to stand up to a third party. ASA (Accredited Senior Appraiser, American Society of Appraisers) is the gold standard and the credential the Department of Labor expects to see on ESOP opinions. ABV (Accredited in Business Valuation, AICPA) is the CPA-issued equivalent and is widely accepted by the IRS. CVA (Certified Valuation Analyst, NACVA) and AVA (Accredited Valuation Analyst) are the NACVA credentials commonly held by boutique appraisers. MAFF (Master Analyst in Financial Forensics) is the forensic credential for divorce, damages, and litigation work. USPAP (Uniform Standards of Professional Appraisal Practice), 2024-2025 edition, governs the methodology that all of the above are required to follow. An appraisal that does not cite USPAP compliance in the engagement letter should be rejected.

What Most Owners Get Wrong

Confusing appraisal value with sale price. A USPAP-compliant fair market value is built to a standard defined by the IRS or the Department of Labor; it is not a prediction of what a strategic buyer will pay. Strategic buyers regularly pay 1.5x to 2x what a fair market value opinion concludes because they apply synergies, control premiums, and bolt-on logic that an appraiser is not allowed to count. Owners who hire an independent appraiser before a sale and then anchor on that number leave money on the table.

Buying a $1,500 software report to file with the IRS. Online tools are not USPAP compliant, are not signed by a credentialed appraiser, and will trigger an IRS challenge on estate or gift filings. The cheap report becomes the most expensive part of the transaction once the IRS reopens the return and the owner has to commission a real appraisal under audit pressure.

Using the audit firm for the valuation. When the same Big 4 or mid-tier firm that audits the company also produces the valuation, an independence question can arise, especially for public-company financial reporting work. The PCAOB and the AICPA have ethics rules on this. Owners should confirm in writing that the engagement does not impair audit independence, or hire a separate firm.

How CT Acquisitions Approaches This

CT Acquisitions is an M&A advisor for the sub-$50 million segment, which means CT sits in category 5 of the list above. The valuation work CT produces is a market price estimate built from comparable transactions, current buyer demand, and the specific drivers in the business. It is not a USPAP appraisal and CT does not pretend otherwise. The output is the number an acquirer will actually pay, calibrated to closed deals in the same vertical from the last 18 months.

The fee model is buyer-paid. Owners do not write a check for the valuation; the work is folded into the sell-side engagement and paid out of the success fee at close. Owners who need a USPAP appraisal for an ESOP, an estate filing, a divorce, or a 409A grant are referred to credentialed firms in the right category. Owners who want to know what the business will sell for, and who want a partner aligned to closing, should start with a call.

Related Questions

How much does a business valuation cost?

Fees track the category of firm. Online software outputs run $500 to $5,000. Boutique appraisal firms charge $5,000 to $25,000 for a small business. Mid-tier CPA firms charge $25,000 to $100,000 for a USPAP report. National independent firms charge $15,000 to $75,000 for a mid-market opinion and $100,000 to $500,000 for litigation work. Big 4 transaction services charge $75,000 to $300,000. M&A advisor valuations for a sell-side engagement are typically included in the success fee.

Do I need a USPAP appraisal to sell my business?

No. A sale to a third-party buyer is a market transaction, and the price is set by what the buyer will pay, not by a USPAP fair market value opinion. Owners who hire an independent appraiser before a sale often anchor low and accept offers below what a competitive process would have produced. The exception is an internal sale (ESOP, family transfer, buy-sell trigger), where a USPAP appraisal is required by ERISA or the IRS.

What credentials should a business appraiser have?

For a defensible valuation, look for ASA (American Society of Appraisers) or ABV (AICPA). For lower-middle-market work, CVA (NACVA) is acceptable and common. For litigation or forensic work, MAFF is the relevant add-on. The engagement letter should cite USPAP 2024-2025 compliance. An appraiser without one of these credentials should not be signing a report that goes to the IRS, the Department of Labor, or a court.

What is the difference between fair market value and investment value?

Fair market value is the price a hypothetical willing buyer and willing seller would agree on, neither under compulsion, both with reasonable knowledge. It is the IRS standard and the ERISA standard. Investment value is the price a specific buyer would pay given their specific synergies and strategy. Investment value is almost always higher than fair market value, and a sell-side M&A process is built to capture investment value from the right strategic acquirer.

Who provides ESOP valuations specifically?

ESOP fairness opinions and ERISA Section 3(18) adequate consideration opinions are the domain of independent firms with deep ESOP practices. Kroll, Stout, Mercer Capital, BVA Group, and a small number of specialist boutiques do most of this work. The Department of Labor expects an ASA-credentialed appraiser at a firm with no other relationship to the company or its officers. Using the company’s audit firm or its M&A advisor for the ESOP opinion is generally not acceptable.

What to Do Next

The right firm depends on what the valuation is for. ESOP, estate, gift, divorce, 409A, or any engagement that has to satisfy the IRS, the Department of Labor, or a court calls for an independent firm with an ASA or ABV appraiser. A planned sale to a third-party buyer calls for an M&A advisor with in-house valuation, paid out of the success fee. Software tools have a real place for internal planning and a poor track record anywhere the report has to be defended.

Owners who want to know what the business will actually sell for, with no upfront fee and no obligation, can start with a call.