Bob GauvreauAsk Bob Gauvreau Questions Based On His Training

Can an Outdated Minute Book Hurt Your Valuation? Here's the Truth! #shorts

6 May 2025 · 0 min

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Bob Gauvreau (YouTube Shorts) answers whether an updated or outdated corporate minute book affects business valuation and due diligence. He states that typically it does not change the company’s valuation, but an outdated or poorly documented minute book can delay the valuation/due diligence process because valuers need clear records of shareholders, rights restrictions, and turnover.

Will a minute book, updated or not updated, impact a business valuation or the due diligence process? And the answer is, it depends. Typically, from a valuation standpoint, it won't impact the value of the company. It may delay the valuation completion because some of the valuation is going to be looking at who the shareholders are. What sort of rights restriction. Has there been turnover that's been happening in there. If you don't have that all well documented, it could delay that process.