Business personal property ff&E appraisal
What is a capital or industrial asset's really worth? What do you do? Guess? Go by book value? Unfortunately, guessing and book values are risky and inaccurate. We have the expertise, certification and knowledge to conduct an independent third party industry and asset appraisal. Therefore, the value of any item is substantiated and reflects the realistic true market value of an item. In addition, we abide by the regulations and ethics of the Uniform Standards of Professional Appraisal Practice (USPAP).
Examples of Industries and Assets:
Agricultural Concerns
•Farm Equipment •Fertilizer Distributing Equipment •Livestock •Winery & Vineyard •Hay Production
Aviation & Marine Industries
•Airplanes/Aviation Equipment •Barges/Tugs •Boats/Vessels
Commercial Services
•Chemical Processing •Coating Companies •Commercial Bakeries •Dairy and Ice Cream Plants •Food Processing •Graphic Arts Companies •Material Testing •Painting Companies •Printing Companies
Construction Equipment & Vehicles Dealers
•Construction Equipment •National & Local Car Dealerships •Trucking Companies
Contracting Companies
•Excavation Contractors •Fire Sprinkler Companies •Flooring Contractors •General Contractors •Paving Contractors •Petroleum Specialists •Plumbing Contractors •Pre-stressed Concrete Forming •Stone Contractors •Utility Contractors
Environmental Services
•Fertilizer Manufacturing Equipment •Soil Remediation Equipment •Wastewater Treatment Facility
Industrial Manufacturing
•Bag Printing & Manufacturing •Boiler Fabrication & Repair •Door Manufacturing •Injection Molding •Metal Production •Tank Fabrication
Timber & Lumber Industry
•Lumber Manufacturing •Milling Companies •Pressure Treated Lumber •Woodworking Companies
Asset Condition and Standards of Value
Definitions of Business Personal Property Condition
Very Good (VG)
This term describes an item of equipment in excellent condition capable of being used to its fully specified utilization for its designated purpose without being modified and not requiring any repairs or abnormal maintenance at the time of inspection or within the foreseeable future.
Good Condition (GC)
This term describes those items of equipment which have been modified or repaired and are being used at or near their fully specified utilization but the effects of age and/or utilization indicate that some minor repairs may have to be made or that the item may have to be used to some slightly lesser degree than its fully specified utilization in the foreseeable future.
Fair Condition (FC)
This term describes those items of equipment which are being used at some point below their fully specified utilization because of the effects of age and/or application and which require general repairs and some replacement of minor elements in the foreseeable future to raise their level of utilization to or near their original specifications.
Poor Condition (PC)
This term is used to describe those items of equipment which can only be used at some point well below their fully specified utilization and it is not possible to realize full capability in their current condition without extensive repairs and/or replacement of major elements in the very near future.
Scrap Condition (X) This term is used to describe those items of equipment which are no longer serviceable and which cannot be utilized to any practical degree regardless of the extent of the repairs or modifications to which they may be subjected. This condition applies to items of equipment which have been used for 100% of their useful life or which are 100% technologically or functionally obsolescent.
Machinery and Equipment Standard of Values Definitions
On March 11, 1984, the ASA Machinery and Equipment Committee voted unanimously to adopt definitions to be used and taught to machinery and equipment appraisers. These definitions are promulgated in the text titled ‘Appraising Machinery and Equipment.’
Fair Market Value is the estimated amount, expressed in terms of money (cash or cash equivalent), that may be reasonably expected for a property, in an exchange between a willing buyer and a willing seller, with equity to both, neither under any compulsion to buy or sell, and both fully aware of all relevant facts, as of a specific date.
Fair Market Value - Removal is the estimated amount, expressed in terms of money (cash or cash equivalent), that may reasonably be expected for a property, between a willing buyer and a willing seller, with equity to both, neither under any compulsion to buy or sell and both fully aware of all relevant facts, as of a specific date, considering the cost of removal of the property to another location.
Fair Market Value in Continued Use is the estimated amount, expressed in terms of money (cash or cash equivalent), that may reasonably be expected for a property in an exchange between a willing buyer and a willing seller, with equity to both, neither under any compulsion to buy or sell, and both fully aware of all relevant facts, including installation, as of a specific date, and assuming that the earnings support the value reported. (This amount includes all normal direct and indirect costs to make the property fully operational and may not readily pertain to aircraft.)
Fair Market Value - Installed is the estimated amount, expressed in terms of money (cash or cash equivalent), that may reasonably be expected for an installed property in an exchange between a willing buyer and a willing seller, with equity to both, neither under any compulsion to buy or sell, and both fully aware of all relevant facts, including installation, as of a specific date. (This amount includes all normal direct and indirect costs, such as installation and other assemblage costs, to make the property fully operational but does not have to be supported by the business earnings.)
Liquidation Value in Place is an opinion of the gross amount, expressed in terms of money that typically could be realized from a properly advertised transaction, with the seller being compelled to sell, as of a specific date, for a failed, non-operating facility, assuming that the entire facility is sold intact.
Orderly Liquidation Value is the estimated gross amount expressed in terms of money, that could be typically realized from a liquidation sale, given a reasonable period of time to find a purchaser(s) with the seller being compelled to sell on an as-is, where-is basis as of a specific date.
Forced Liquidation Value is the estimated gross amount expressed in terms of money that could be typically realized from a properly advertised and conducted public auction, with the seller being compelled to sell with a sense of immediacy on an as-is, where-is basis, as of a specific date.
Liquidation Value in place is the estimated gross amount expressed in terms of money that could typically be realized from a failed facility, assuming that the entire facility would be sold intact within a limited time to complete the sale, as of a specific date.
Salvage Value is the estimated amount expressed in terms of money that may be expected for the whole property or a component of the whole property that is retired from service for use elsewhere, as of a specific date.
Scrap Value is the estimated amount expressed in terms of money that could be realized for the property if it were sold for its material content, not for a productive use, as of a specific date.