Michigan Association of Real Estate Appraisers
(Under the administration of Northern Michigan University’s
Department of Continuing Education and Sponsored Programs)
Business Appraisal Expert
Purpose: The intent of the BAE program is to improve the practice of business appraisals, meet the challenging task of valuing business entity’s and to inspire others to leave their mark of excellence within this discipline. Unlike real estate appraising, currently, there are no controls, regulations or licensing requirements of individuals in regards to business valuations. MAREA firmly believes that in today’s society only the most qualified and competent of individuals will survive. Lenders in the present day will most likely settle for no less. This is why MAREA has taken steps to improve the business valuation field by establishing a unique program designation with a new set of educational criteria. The program takes the appraiser through valuing a business entity for numerous uses: offering of sale, estate, marital dissolution, partnership dissolution, bankruptcy, and financing. Clients will recognize that individuals attaining the BAE designation are qualified to solve their business appraisal needs.
The educational requirements for the Business Appraisal Expert designation:
|National USPAP or equivalent||15 hours*|
|Business Valuation||30 hours**|
|Income Capitalization||30 hours|
|Report Writing||15 hours|
|Basic Appraisal Courses||90 hours|
*This will be waived for Appraisers who are currently licensed and grandfathered with a USPAP course prior to the National USPAP requirement.
**This course must be taken within one year of applying for the BAE designation.
Licensing requirements: BAE designation is limited to those applicants who are, at a minimum, licensed as a state licensed real estate appraiser. Once designated, the appraiser is not required to maintain a real estate appraiser’s license in order to maintain the designation.
Maintaining BAE designation: The designated appraiser is required to be a BAE member, in good standing and is required to attend 7 hours of business appraisal continuing education per year. These courses will be provided through MAREA and Northern Michigan University’s Continuing Education Department.
Why Become a Business Appraisal Expert designated appraiser?
We believe that the profession of business appraiser is currently greatly underserved. Without licensing requirements, many clients are confused as to the qualifications of the business appraiser. MAREA recognizes that most small, closely held business’s have significant real estate values. MAREA believes that professional real estate appraisers, with additional education, are well equipped to serve the public’s need for such business appraisals. Among the typical assignment of the BAE will be the local restaurant, motel, retail establishment, service facility, assisted living facility and alike. In other words, those business’s that make up the economic base of your local community.