Insights · Checklist
EOT valuation checklist.
James Nelson
Founder & M&A Valuation Director, The Business Valuers
17 years in UK business brokerage and valuation. 1,000+ SME valuations completed. Former Head of Corporate Sales at Christie & Co.
Trustees must take all reasonable steps to ensure they pay no more than market value for shares bought by an Employee Ownership Trust. A valuer can only be as good as the information provided. Gather the items below and an independent valuation can usually be completed in 3 working days from receipt of the information we need.
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Financial information
- Statutory accounts for the last three years.
- Management accounts for the current year to date.
- A list of one-off or non-recurring income and costs.
- Current owner and director pay, and what it will be after the sale.
- Year-end and current cash and debt balances.
- Forecasts covering the deferred payment period.
Ownership and structure
- The share register and any share classes or options.
- A group structure chart, if there is more than one company.
- Details of any property the business owns, and an agreed property value if available.
The proposed deal
- The percentage of shares the trust will buy (must exceed 50%).
- The proposed price, or the range being discussed.
- How much is paid at completion and how much is deferred.
- The expected payment period for the deferred amount.
- Draft heads of terms, if prepared.
Trustee records
- Who the trustees are, and confirmation of who commissioned the valuation.
- Minutes recording how the trustees considered the price.
- Contact details for the company's accountant and solicitor.
If something is missing.
You do not need every item to start. We will tell you which gaps matter for the figure and which do not. Forecasts and a clear note of one-off costs make the biggest difference to how robust the final valuation is.
Next steps.
- Read EOT valuations explained for how the price is worked out.
- See our EOT valuation service, fixed fee from £495.
This checklist supports valuation preparation and is not tax or legal advice.