Distinguish three different dates
| Date | Question it answers |
|---|---|
| Valuation date | At what point is value being assessed? |
| Financial reporting date | To which date do these accounts or management figures relate? |
| Report date | When was the conclusion documented? |
A report written in October may concern value at an earlier date. A current sale discussion may use accounts prepared months before the valuation date. State the gap and explain the information used to bridge it. The required basis and engagement instructions determine the treatment, rather than a universal rule for every assignment.
Build a dated evidence timeline
Record annual accounts, management accounts, forecasts, funding events, major contract changes and transaction milestones. Note when information became available and which period it describes. Separate facts from expectations so readers can understand what was known, what was reasonably supportable and what remains uncertain for the instructed purpose.
Illustration: a major contract changes
Suppose a company’s year-end is 31 March, the valuation date is 30 June and a customer issues a termination notice on 15 August. Do not simply insert the August outcome into the June forecast without explaining the basis. Investigate what evidence existed at the valuation date, why the contract changed and what the engagement requires. Later information may need consideration, but the reasoning should be explicit.
Keep negotiations and valuation evidence separate
An offer received after the valuation date may contain useful information, but it can also reflect later trading, buyer-specific benefits or different deal terms. Check what is being acquired and whether financing, conditional payments or control rights differ. A headline offer is not automatically a like-for-like comparable.
What to tell your adviser
State why the particular date is required, the latest reliable financial period, material events around the date and who will rely on the work. Supply appointment terms or recipient instructions where applicable. If dates or instructions are disputed, explain that before commissioning.
Use the readiness checklist and explore customer evidence that may affect assumptions.