Divorce & financial remedy
Business Valuation for Divorce
The Business Valuers is an independent valuation firm providing business valuations for divorce and financial remedy proceedings to SME owners across England and Wales. A business valuation for divorce is a formal, impartial assessment of what a privately owned company is worth, prepared so the business can be divided fairly as part of a financial settlement.
When a marriage ends and a business is involved, the value placed on that business shapes everything that follows — how the home, the pensions, the savings and the settlement are divided. Get it wrong in either direction and one party is short-changed. We provide an independent, defensible valuation, delivered as a fixed-fee written report within 72 hours.
Why a business has to be valued.
In England and Wales, a business built or grown during a marriage is treated as a matrimonial asset, regardless of whose name sits on the share register or whether one spouse was ever involved in running it. Before anything can be divided fairly, the court — and both parties — need to know what the business is actually worth.
A business cannot be split down the middle like a bank account. Its value becomes the basis for negotiation: a buy-out, an offset against other assets, or a structured settlement. That figure also feeds into financial disclosure on Form E, where both parties are required to set out their assets in full and with honesty.
Where we fit.
Our valuation is independent and unconnected to either side. We are not instructed to reach a number that flatters the owner or punishes them — we value the business as it is.
That independence makes our report useful in several ways:
- —As a starting point for disclosure and negotiation, giving solicitors and both parties a credible figure to work from on Form E and in settlement discussions.
- —As a sense-check where one party suspects the business is being undervalued, or where the owner wants to demonstrate a fair figure before matters escalate.
- —As a basis for instruction before a Single Joint Expert is appointed, or alongside the SJE process.
A note on contested proceedings: where a matter is heading to a contested final hearing, the court will usually direct a Single Joint Expert (SJE) under the Family Procedure Rules, jointly instructed by both parties, with the report prepared for the court and the expert potentially cross-examined. If that is the route your case is on, we will tell you plainly — and where appropriate we can be instructed on that basis rather than supplying a standalone report.
How we value the business.
There is no single prescribed method for valuing a business in divorce proceedings. The right approach depends on the company, its sector, its trading history and the quality of its earnings. In practice we work through:
- —An earnings-based approach — applying an appropriate multiple to sustainable, maintainable earnings. This is the usual approach for an established, profitable trading business.
- —An asset-based approach — where the value sits primarily in the balance sheet, or where the business is asset-rich rather than profit-generating.
- —Normalisation adjustments — the part that matters most and is most often contested. Many owners pay themselves a salary that bears little relation to the true cost of replacing them, or run personal costs through the company. We identify these, set a market-rate figure for the owner's role, and strip out exceptional items so the valuation rests on an accurate picture of profitability rather than a distorted one.
We are clear in the report about which method we have used and why, what we have adjusted, and the assumptions behind the figure. That transparency is what makes a valuation defensible.
Fair value, properly explained.
A valuation for divorce is not the same as a price a buyer would pay tomorrow. Minority interests, marketability, the dependence of the business on one individual, and whether a sale is even realistic all affect the figure. We set these factors out in plain English so that you, your solicitor and the other party can understand not just the number but how we reached it.
What we need from you.
To produce the report we will usually ask for:
- —Statutory accounts for the last three years.
- —The most recent management accounts.
- —A short note on the business, its ownership and the role of each party.
If anything is missing, we will tell you what matters and what doesn't.
What you receive.
An independent written valuation report from The Business Valuers, delivered within 72 hours of receiving the information we need. We are an independent UK firm and act for SME owners nationwide. Fixed fee, agreed before we start — typically £495. No portals, no open-ended hourly billing, no surprises.
Frequently asked.
Is my business a matrimonial asset if I started it before the marriage?
Possibly in part. Value built up during the marriage is generally treated as matrimonial, even where the business predates it. The growth, rather than the original value, is usually what is in question — which is exactly the sort of thing a proper valuation can address.
My spouse says the business is worthless. Is that the end of it?
No. A business that generates steady income, holds contracts, or runs on systems rather than one person's effort can carry real value even if it is not for sale. A valuation looks at economic reality, not assertion.
Do you act as an expert witness?
Where a contested matter calls for a Single Joint Expert, that is a distinct, court-directed role under the Family Procedure Rules. Tell us where your case stands and we will be straight with you about what is appropriate and what we can do.
How quickly can you turn it around?
A written report within 72 hours of receiving the financial information.
Get a clear, independent figure — done properly.
A neutral, fully evidenced valuation in 72 hours.