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ASI Code Of Ethics

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THE INSTITUTE OF CERTIFIED BUSINESS COUNSELORS (CBC) is a non-profit organization dedicated to enhancing the professionalism of individuals and firms involved in counseling, valuation, acquisition, sale or transfer of privately-owned or closely-held companies, through continuing education and the exchange of ideas, while maintaining the highest standards to ensure public confidence.

The Code of Ethics was enacted by the Board of Directors of The Institute of Certified Business Counselors, and is a part of the by-laws. The code is for use by all members of The Institute as a means of establishing a uniform standard of conduct for Certified Business Counselors. Additions may be made to the Code from time to time by the Board of Directors so long as any new provisions are consistent with the existing Code.

All members shall adhere to these ethical principles of conduct and the belief that the investment, risk and effort required to build a profitable business or enterprise mandates fair representation, realistic counseling, and competent professional presentation.

All members of CBC shall be professionally qualified in their respective individual disciplines, including business acquisitions and sales, consulting, accounting, appraising and legal counseling; and meet certification requirements established by the Board of Directors.

  1. ARTICLE ONE: The Counselor shall keep informed as to trends affecting business, especially in the privately held sector.

  2. ARTICLE TWO: The Counselor shall make all reasonable efforts to protect the public and all parties to a transaction against fraud, misrepresentation or unethical practices in their discipline.

  3. ARTICLE THREE: The Counselor, when accepting an engagement, pledges to protect and promote the interest of the client. This obligation of absolute loyalty and honesty to clients' interest is primary but does not relieve the Counselor from the obligation to deal fairly with all parties to a transaction

  4. ARTICLE FOUR: The Counselor shall not deny equal professional services to any person for reason of race, creed, sex or country of national origin. The Counselor shall not discriminate against any person or persons on the basis of race, creed, sex or country of national origin.

  5. ARTICLE FIVE: The Counselor shall not accept: compensation from more than one party to a transaction without the full knowledge of, and written disclosure to all parties to the transaction.

  6. ARTICLE SIX: The Counselor shall not: serve as both principal and consultant on any transaction unless full disclosure is made are in writing to all parties involved.

  7. ARTICLE SEVEN: The Counselor, when acting as an agent for any a client shall not accept: any fee, commission, rebate or profit any a client shall not accept: any fee, commission, rebate or profit on expenditures made on behalf of the client, without the client's knowledge and advance written consent.

  8. ARTICLE EIGHT: The Counselor shall conduct all business in a manner to avoid controversies with fellow Counselors. The Counselor shall cooperate with the Institute and its officers in all matters, including investigations, censure, discipline, or dismissal of any Counselors who, by their action or inaction, prejudice their professional status or the reputation of The Institute. When or if a Counselor is charged with unethical practices, all pertinent facts shall be placed before the Grievance Committee of CBC for investigation and appropriate action.

  9. ARTICLE NINE: The Counselor shall also abide by the ethics of their respective individual disciplines.

  10. ARTICLE TEN: The Counselor shall not accept an engagement which is outside or beyond the scope of The Counselor's experience without the assistance of a qualified authority in such matters, unless the extent or lack of experience of the Counselor is fully disclosed to the client.

  11. ARTICLE ELEVEN: The Counselor, when making a formal appraisal of a business opportunity, should not render an opinion without careful and thorough analysis and interpretation of all market and economic factors affecting the value of the business.

  12. ARTICLE TWELVE: The Counselor shall not undertake to make an appraisal or render an opinion of value on any business if the Counselor has a present or contemplated interest in said business unless that interest is disclosed in writing to all parties.

  13. ARTICLE THIRTEEN: The Counselor shall have a responsibility to recommend that clients have competent accounting and legal advice.

  14. ARTICLE FOURTEEN: The Counselor shall keep a special trust account, separate from their own funds, for any funds held in trust for others.

  15. ARTICLE FIFTEEN: The Counselor shall see that all agreements are in writing and that copies are provided to all parties for their protection.

  16. ARTICLE SIXTEEN: The Counselor shall not disclose confidential information without advance written approval of the client.

  17. ARTICLE SEVENTEEN: The Counselor shall not seek an unfair advantage over fellow Counselors and shall willingly share with them the benefits of their knowledge and experience.

  18. ARTICLE EIGHTEEN: The Counselor shall not advertise on behalf of a third party without authorization.

  19. ARTICLE NINETEEN: The Counselor shall cooperate with other Counselors whenever authorized by the client. All agreements with other Counselors shall be in writing and in accordance with applicable regulatory authorities and shall provide for prompt payment of respective shares of fees upon receipt.




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