Who can value a business for a family law property settlement?

A business in a family law property settlement can be valued by an independent person who has relevant specialised knowledge of business valuation, based on their training, study or experience. Australia has no statutory licence for business valuers and the court rules do not name a required profession. What they require is independence, relevant expertise and a report that explains its reasoning.

That answer has two halves, because a valuation is used in two different settings. For negotiation and mediation the parties can choose any valuer they are both prepared to rely on. For court proceedings the choice is governed by the rules on expert evidence. This guide covers both, in general terms.

What the court rules say

In the Federal Circuit and Family Court of Australia, expert evidence is governed by Part 7.1 of the Federal Circuit and Family Court of Australia (Family Law) Rules 2021. The Rules define an expert as "an independent person who has relevant specialised knowledge, based on the person's training, study or experience".

Three things follow from that definition and the rules around it.

• Independence comes first. An expert witness has a duty to assist the court, and that duty prevails over any obligation to the person instructing or paying the expert (rule 7.18). The expert must give an opinion that is objective, unbiased, independent and impartial.
• Expertise is tested against the matter. When the court decides whether to permit a party to rely on an expert, it may take into account whether the person has specialised knowledge that is relevant to the issue and appropriate to the value, complexity and importance of the proceeding (rule 7.11).
• Qualifications are disclosed, not assumed. An expert's report must set out the expert's qualifications, the facts and assumptions relied on, the methodology and the reasons for the conclusions (rule 7.22).

The Rules do not list approved valuers. The parties and their lawyers identify a suitable person.

Who appoints the valuer

Where a matter is in court, the Rules aim for one expert on an issue wherever that is practicable (rule 7.02). That one valuer for both parties is known as a single expert witness.

• The parties may agree to appoint a single expert jointly (rule 7.03).
• The court may order that expert evidence be given by a single expert, and may settle who is appointed if the parties cannot agree (rules 7.04 and 7.05). A person can be appointed by the court only if they consent.
• Once a single expert has been appointed on an issue, a party needs the court's permission to rely on another expert on the same issue (rule 7.08).

The pre-action procedures in the Rules point the same way before a matter is filed: where practicable, the parties should agree to obtain a report from a single expert instructed by both of them.

Western Australia has its own court, the Family Court of Western Australia, with its own rules. Which rules apply to a matter is a question for the lawyers acting in it.

Can my accountant value the business?

Your accountant can tell you a great deal about the business, and a valuer will want their records. As the valuer in a property settlement they are the wrong choice, for a reason that has nothing to do with competence: they are not independent of you.

The other party has little reason to accept a figure produced by the adviser of the person who owns the business. In proceedings, the difficulty is sharper. A party asking the court for permission to rely on an expert must state whether there is any previous connection between the expert and that party (rule 7.11), and the whole scheme of Part 7.1 is built on independent evidence.

The same applies in reverse to a valuation obtained by the other party from their own adviser.

What about a business broker's appraisal?

A broker's appraisal is an opinion about the price a business might be listed or sold for. It is useful information, and it is not a valuation report: it does not usually normalise the earnings, test how far the goodwill depends on the owner or explain its reasoning in a form the other party can check. An appraisal of the premises a business operates from is a different thing again. It values the real estate, not the business.

For negotiation and mediation, the parties choose

Where the matter is not in court, no rule prescribes who may value the business. The practical test is whether both parties, and their advisers, will be prepared to rely on the report. That comes down to the same qualities the court rules look for: a valuer who is independent of both parties, who has done this kind of work, and who explains the conclusion so the person who did not run the business can follow it.

A Settlement Valuation is prepared for exactly that setting. It can be instructed by one party or by both.

What to check before you instruct a valuer

1. Independence. Has the valuer had any connection with either party or with the business? A conflict check should happen before the matter is discussed in detail.
2. The fee. Is it fixed in writing before work starts, and is it the same whatever figure the valuation reaches? A fee that depends on the result is incompatible with independence.
3. The intended use. Is the report being prepared for negotiation and mediation, or for proceedings? The two are prepared differently, and a report written for one use should not be relied on for the other.
4. Who signs. Which valuer will do the work and sign the report, and what are their qualifications and experience? You are entitled to know before you engage.
5. The reasoning. Will the report set out the adjustments, the method and the assumptions, so that it can be read, tested and questioned?

How we work

Family Law Valuations is a business valuation practice that does this work only. Reports are prepared and signed by suitably qualified business valuers, and the valuer who accepts your instructions is identified in the engagement, together with their qualifications and experience, before work begins. The practice is independent of both parties, the fee is fixed before work starts and never depends on the figure, and every engagement begins with a conflict check.

For negotiation and mediation, the Settlement Valuation is $2,495 + GST. For family law proceedings, the Family Law Expert Valuation is $4,495 + GST, subject to a conflict and suitability assessment, review of the proposed instructions and acceptance by the appointed expert. The fees page sets out what each includes.

If a single expert is being considered, single expert business valuations in family law explains how the appointment works, and the page for lawyers and advisers explains how to instruct us. More guides are on the insights page.

This is general information about who may value a business in a family law matter. It is not legal advice. The rule references are to the Family Law Rules 2021 as in force from 10 June 2025; rules change, and whether and how they apply to your matter is a question for your lawyer.