Terms of Engagement

This is to confirm our understanding of the terms of our engagement and the nature and limitations of the services we provide.

PURPOSE, SCOPE AND OUTPUT OF THE ENGAGEMENT

BIZVAL will provide Limited Scope Valuation services which will be conducted in accordance with APES 225 and the relevant professional and ethical standards issued by the Accounting Professional & Ethical Standards Board Limited (APESB). The extent of our procedures will be limited exclusively for this purpose. As a result, no audit will be performed and, accordingly, no assurance will be expressed. Our engagement cannot be relied upon to disclose irregularities including fraud, other illegal acts and errors that may exist. However, we will inform you of any such matters that come to our attention. Our professional services are conducted for, and the valuation report will be prepared for, the relevant specific organisation or party for the purpose specified in the report or as agreed. We disclaim any assumption of responsibility for any reliance on our professional services to any party other than as specified or agreed, and for the purpose which it was prepared. Where appropriate, our report will contain a disclaimer to this effect.

RESPONSIBILITIES

In conducting this engagement, information acquired by us in the course of the engagement is subject to strict confidentiality requirements. That information will not be disclosed by us to other parties except as required or allowed for by law, or with your express consent. We wish to advise that our firm’s system of quality control has been established and maintained in accordance with the relevant APESB standard. As a result, our files may be subject to review as part of the quality control review program of Chartered Accountants Australia & New Zealand which monitors compliance with professional standards by its members. We advise you that by accepting our engagement you acknowledge that, if requested, our files relating to this engagement will be made available under this program. Should this occur, we will advise you. Clients are required to arrange for reasonable access by us to relevant individuals and documents, and to be responsible for both the completeness and accuracy of the information supplied to us.

FEES

The fee arrangement is a fixed price as agreed and payable in full prior to commencement of work.

Should we need to amend or update a report due to the provision of new or further information, we reserve the right to charge a fee for the amendment. Any such fee will be quoted upfront.

LIMITATION OF LIABILITY

Our liability is limited by a scheme approved under Professional Standards Legislation. Further information on the scheme is available from the Professional Standards Councils’ website: www.psc.gov.au.

INDEPENDENCE

The opinion provided in our valuation report will be an independent opinion of value and will comply with the independence requirements of APES 225.

OWNERSHIP OF DOCUMENTS

All original documents obtained from the client arising from the engagement shall remain the property of the client. However, we reserve the right to make a reasonable number of copies of the original documents for our records. Our engagement will result in the production of a valuation report. Ownership of this document will vest in the client. All other documents produced by us in respect of this engagement will remain the property of BIZVAL.

REFUNDS

As this is a fixed price service there will be no refund of fees after commencement of the engagement or payment of the fixed price fee, whichever occurs first.

CONFIRMATION OF TERMS

Acceptance of our services, by requesting a valuation or payment of our fee (whichever occurs first), indicates you understand and accept our Terms of Engagement. These terms will be effective for all future engagements unless we advise you of any change.

EXPIRATION

We reserve the right to cease an engagement if no correspondence is received from you for a period of two (2) consecutive months after the commencement of your engagement. In this event we will consider the file expired and no valuation report or refund, in part or in full, will be given. Should you require us to reopen the file and continue with the engagement after this time, an additional fee will be charged. Any such fee will be quoted upfront and full payment will be required before the engagement recommences.

DEFINITIONS

Calculation Engagement: means an Engagement or Assignment to perform a Valuation and provide a Valuation Report where the Member and the Client or Employer agree on the Valuation Approaches, Valuation Methods and Valuation Procedures the Member will employ. A Calculation Engagement generally does not include all of the Valuation Procedures required for a Valuation Engagement or a Limited Scope Valuation Engagement.

Valuation Engagement: means an Engagement or Assignment to perform a Valuation and provide a Valuation Report where the Member is free to employ the Valuation Approaches, Valuation Methods, and Valuation Procedures that a reasonable and informed third party would perform taking into consideration all the specific facts and circumstances of the Engagement or Assignment available to the Member at that time.

Limited Scope Valuation Engagement: means an Engagement or Assignment to perform a Valuation and provide a Valuation Report where the scope of work is limited or restricted. The scope of work is limited or restricted where the Member is not free, as the Member would be but for the limitation or restriction, to employ the Valuation Approaches, Valuation Methods and Valuation Procedures that a reasonable and informed third party would perform taking into consideration all the specific facts and circumstances of the Engagement or Assignment available to the Member at that time, and it is reasonable to expect that the effect of the limitation or restriction on the estimate of value is material. A limitation or restriction may be imposed by the Client or it may arise from other sources or circumstances.