Elected or Imposed Inactive Status
Elected Inactive Status
Certified designee members who wish to defer recertification compliance and reporting due to extended inactivity in business valuation, financial forensics, litigation consulting, or for other reasons such as unemployment or a medical condition, but do not want to lose their certification, may elect Inactive status for up to five years. Under this election (which is automatically imposed for non-compliance with recertification), the designees cannot use his or her NACVA designation in any capacity, i.e., on business cards, curriculum vitae, signed reports, firm/company website, company letterhead, yellow pages, other organization websites, social media (LinkedIn, Facebook, etc.), etc.—and will have to fulfill his or her recertification requirements for one reporting period to reactivate. Applicable fees will be assessed at that time. Non-member CVAs cannot elect Inactive status. Inactive status is only available to members.
If reactivation occurs within one year, the designee will keep his or her original date of certification, and will continue on the original recertification cycle. If reactivation occurs within one to three years, the designee’s effective date of certification will not be changed, but they will be placed on a new three-year recertification cycle. Applicable fees will be assessed at that time.
Designees who have gone more than three, but less than five years as Inactive, are required to take at least two Recommended CPE Bonus Point Programs to fulfill part of their CPE recertification requirement. This is to assure they are abreast of recent industry developments. Designee’s effective date of certification will not be changed, but they will be placed on a new three-year recertification cycle. Applicable fees will be assessed at that time.
Five or more years of Inactive status require that one retake either the CVA (for CVAs/ABARs/CBAs/MCBAs) or MAFF exam; and if seven or more years, CVAs/ABARs/CBAs/MCBAs are also required to submit a sample Case Study or actual and sanitized Fair Market Value (FMV) valuation report (as defined by Revenue Ruling 59-60) prepared in the last 12 months*. Designee’s effective date of certification will change to the date designee passes the exam, or the date designee successfully passes the valuation report, and they will be placed on a new three-year recertification cycle. Applicable fees will be assessed at that time.
Designees who cancel completely (or are canceled by NACVA for non-payment of fees) who want to reestablish their designation may do so, but will be assessed a reinstatement fee. Once the designee does so, he or she must then reinstate his or her status from Inactive to Active following the guidelines above.
* Exception: If a CVA has been Inactive for seven or more years, but during the entire time has maintained an active ABV designation which requires attesting to ongoing experience in business valuation, such CVA is exempt from the Case Study/actual report submission requirement.
Imposed Inactive Status
Inactive status is effective January 1 for non-compliance by the December 31 due date, with no exceptions. Designees holding Inactive status who actively use and/or hold themselves out as an Active CVA/MAFF/ABAR/CBA/MCBA could be subject to disciplinary measures taken by NACVA’s Ethics Oversight Board (EOB) where this infraction is discovered. To reactivate your credential after January 1, the CVA/MAFF/ABAR/CBA/MCBA non-compliance fee ($75) will be required. Compliance with the 60-point/60-hour requirement must be reported with applicable fees paid. All applicable fees must be paid before full reinstatement occurs. You can opt to hold Inactive status for up to five years and will have to fulfill recertification requirements for one reporting cycle to reactivate, and pay all applicable fees.
Special Consideration for Active Military Service During Deployment
- Upon notification and prior to deployment, the NACVA required annual fees will be suspended (put on hold) for the duration of deployment;
- When the designee returns from active duty, required annual fees will be reinstated;
- If recertification became due during the period of deployment, such designee is granted one year from when he or she returns to fulfill his or her recertification requirements.