Under SBA SOP 50 10 8.1 (effective October 1, 2026), an independent Quality of Earnings (QoE) report is mandatory for SBA 7(a) acquisitions and expansions priced at $3 million or more. This requirement is important because it establishes strict due diligence. By mandating cash proofs, tax return reconciliations, and rigorous validation of seller add-backs, the SBA ensures loan underwriting relies on true, sustainable cash flow rather than aggressive seller projections. Business appraisers must pay attention because the QoE directly impacts the baseline normalized earnings used in valuation models. Unsupported adjustments discredited by a lender's QoE will alter cash flow assumptions, impacting value conclusions and debt service feasibility. Appraisers who align their normalization methodologies with these QoE standards will deliver far more defensible, deal-ready reports.

AI is changing how appraisers research, write, and win business. This year's ISBA/NEBB Annual Conference puts it front and center: two days of AI-forward sessions built around how you actually work, covering valuation practice, business development, and cybersecurity risk.

This package contains all recordings from the ISBA/NEBB 2025 conference covering the latest trends and advancements in business valuation and machinery and equipment appraisal.

This package contains all recordings from the ISBA/NEBB 2024 conference covering the latest trends and advancements in business valuation and machinery and equipment appraisal.

The BCA Certification Program includes all three levels of the Business Certified Appraiser Body of Knowledge (BCA-BOK).

Includes 2 BCA practice exams covering valuation essentials and advanced valuation techniques.

Advanced Financial Analysis discussion, also includes a walkthrough of a valuation case.

A 5% adjustment will not incorporate the operating risk of the business that utilizes the subject real property. Learn more here.