USPAP 2018-2019 Edition
© The Appraisal Foundation
STANDARD 10: BUSINESS APPRAISAL, REPORTING
In reporting the results of an appraisal of an interest in a business enterprise or intangible asset,
an appraiser must communicate each analysis, opinion, and conclusion in a manner that is not
Comment: STANDARD 10 addresses the content and level of information required in a
report that communicates the results of an appraisal of an interest in a business enterprise or intangible asset
developed under STANDARD 9.
STANDARD 10 does not dictate the form, format, or style of business or intangible asset appraisal reports,
which are functions of the needs of intended users and appraisers. The substantive content of a report
determines its compliance.
STANDARDS RULE 10-1
Each written or oral appraisal report for an interest in a business enterprise or intangible asset must:
(a) clearly and accurately set forth the appraisal in a manner that will not be misleading;
(b) contain sufficient information to enable the intended user(s) to understand the report; and
(c) clearly and accurately disclose all assumptions, extraordinary assumptions, hypothetical conditions, and
limiting conditions used in the assignment.
STANDARDS RULE 10-2
Each written appraisal report for an interest in a business enterprise or intangible asset must be prepared in
accordance with one of the following options and prominently state which option is used: Appraisal Report or
Restricted Appraisal Report.
Comment: When the intended users include parties other than the client, an Appraisal Report must be
provided. When the intended users do not include parties other than the client, a Restricted Appraisal Report
may be provided.
The essential difference between these options is in the content and level of information provided. The
appropriate reporting option and the level of information necessary in the report are dependent on the
intended use and intended users.
An appraiser must use care when characterizing the type of report and level of information communicated
upon completion of an assignment. An appraiser may use any other label in addition to, but not in place of,
the label set forth in this Standard for the type of report provided.
The report content and level of information requirements set forth in this Standard are minimums for both
types of report.
A party receiving a copy of an Appraisal Report or Restricted Appraisal Report does not become an intended
user of the appraisal unless the appraiser identifies such party as an intended user as part of the assignment.
(a) The content of an Appraisal Report must be consistent with the intended use of the appraisal and, at a
state the identity of the client, unless the client has specifically requested otherwise; state the
identity of any intended users by name or type;
97 See Advisory Opinion 11,
Content of the Appraisal Report Options of Standards Rules 2-2, 8-2, and 10-2
, and Advisory Opinion 12,
the Appraisal Report Options of Standards Rules 2-2, 8-2, and 10-2.
98 See Advisory Opinion 36,
Identification and Disclosure of Client, Intended Use, and Intended Users