Registered valuer: meaning, asset classes and when required
A registered valuer is a professional registered with IBBI under section 247 of the Companies Act for valuations under company and insolvency law.
Short answer
A registered valuer is an individual or entity registered with the Insolvency and Bankruptcy Board of India (IBBI) to carry out valuations required under the Companies Act, 2013 and the Insolvency and Bankruptcy Code, 2016. Section 247 of the Companies Act and the Companies (Registered Valuers and Valuation) Rules, 2017 govern their registration and conduct.
- Law
- Section 247 and the Registered Valuers Rules, 2017
- Authority
- Insolvency and Bankruptcy Board of India (IBBI)
- Asset classes
- Land and building; plant and machinery; securities or financial assets
- Membership
- Must belong to a registered valuers organisation
Who can become a registered valuer
An individual must meet educational and experience qualifications, complete an educational course with a registered valuers organisation, pass the valuation examination conducted by IBBI for the asset class, and be a member of a registered valuers organisation. Partnership firms and companies can also be registered, subject to conditions. Each registration is for a specific asset class, so a valuer registered for securities cannot value a building. Registered valuers must follow a code of conduct, maintain independence and apply recognised valuation standards.
When a registered valuer is required
Several Companies Act transactions need a report from a registered valuer in the right asset class, usually securities or financial assets for share valuations. The ones most relevant to startups are these.
- Preferential allotment of shares under section 62(1)(c)
- Sweat equity shares, including the IP or know-how contributed
- Non-cash consideration for shares
- Mergers, demergers and other schemes
- Valuation in insolvency proceedings
Why it matters for startups
Under FEMA, the price for issuing shares to non-residents can be certified by a chartered accountant, SEBI-registered merchant banker or cost accountant, which is a different list. Engage a valuer who qualifies for every law that applies to your transaction, check the IBBI registration and asset class, and align the valuation date with the closing. A report from the wrong type of valuer may have to be redone, delaying allotment.
Related services
Sources
- Insolvency and Bankruptcy Board of India: registered valuers
- India Code: official repository of central Acts
Written by the Refogo Editorial Team from the official sources above and checked on 2026-10-31. Laws, rates and due dates change, and authorities often extend deadlines, so confirm your own case with a qualified professional. This is general information, not legal or tax advice. Read our editorial policy or report an error to support@refogo.com.
Common questions
How can I verify a registered valuer?
IBBI maintains a public list of registered valuers and their asset classes on its website.
Can a chartered accountant act as a registered valuer?
Only if they are separately registered with IBBI for the relevant asset class. Being a CA alone is not enough for Companies Act valuations.
Is a registered valuer needed for a rights issue?
Generally no under the Companies Act, but FEMA pricing may require a valuation if non-residents participate.