The Uniform Standards of Professional Appraisal Practice (USPAP) are the generally accepted standards for professional appraisal practice in North America. USPAP contains standards for all types of appraisal services. Standards are included for real estate, personal property, business and mass appraisal. The purpose of USPAP is to promote and maintain a high level of public trust in appraisal practice by establishing requirements for appraisers.
All appraisal reports must include a signed and dated certification that these USPAP requirements have been fulfilled. Among the many stipulations, USPAP requires that the appraiser act as a neutral, disinterested third party, who reports the facts in an unbiased manner. These and other requirements comprise the “standard of care” to which appraisers must adhere.
Discuss one USPAP (Uniform Standards of Professional Appraisal Practice) Business Valuation Standard and how that standard may apply to a given circumstance in a business valuation engagement.
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