|
The valuation of businesses and/or their capitol assets is our forte. Our Certified Machinery and Equipment Appraisers (CMEA) and Senior Business Analysts (SBA) deliver USPAP (Uniform Standards of Professional Appraisal Practices) compliant appraisal reports that are defensible, irrefutable and substantiated. We specialize in the valuation of medical, construction, manufacturing, and office equipment. Our professional, certified, hard-bound appraisals are delivered in a timely manner.
Typical Reasons for
Machinery and Business Appraisal
- 1031 Exchanges
- Bankruptcy
- Business Valuations
- Buy/Sell Agreements
- Buyout Agreements
- Cost Segregation
- Dissolutions
- Divorce Settlements
- ESOPS
- Estate Settlements
- Estate Valuations
- Financial Planning
- Financing
- Gift Planning
- Insurable Value
- IPO
- Litigation Support
- Mergers and Acquisitions
- Partnerships
- Retirement Planning
- Sarbanes-Oxley
- SBA Loans
- Succession Planning
- Tax Purposes
- Trust Agreements
- Valuing Goodwill
- and more
|
Common Types of
Machinery/Equipment Appraised
- Automotive Equipment
- Aviation Equipment
- Chemical
- Commercial Equipment
- Construction Equipment
- Farming Equipment
- Food Processing and Restaurant
- Foundry Machinery
- Furniture & Fixtures
- Industrial Equipment
- Machine Shops
- Manufacturing
- Medical Equipment
- Metalworking
- Mining Equipment
- Office Equipment
- Plastics
- Printing
- Refining Equipment
- Rubber
- Steel Mill
- Telecommunications Equipment
- Textile
- Trucking/Transportation Equipment
- Woodworking
- and more
|
Common Types of
Businesses Appraised
- Closely-Held Businesses
- Family-Owned Businesses
- Limited Liability Companies
- Limited Liability Partnerships
- Partnerships
- Professional Practices
- S-C Corporations
- Sole Proprietorships
|
Definitions of Value
Insurance Replacement Cost: is the replacement cost new as defined in the insurance policy less the replacement cost new of the items specifically excluded in the policy, if any, as of a specific date.
Insurance Value Depreciated: is the insurance replacement cost new less accrued depreciation considered for insurance purposes as defined in the insurance policy or other agreements, as of a specific date.
Fair Market Value(1) - In Place, (in use): The most probable market price expressed in terms of cash equivalents an asset should bring in a competitive and open market under a reasonable time period at an assets' highest and best use. An assets' value includes all transportation, labor and material costs to place the asset into use.
Fair Market Value(1) - In Place (not in use): The most probable market price expressed in terms of cash equivalents an asset should bring in a competitive and open market under a reasonable time period, at the assets' highest and best use. An asset, not in operation, but is capable of being moved and placed into service (does not include transportation, labor or material costs to place asset into use).
Liquidation Value (in place): The most probable market price expressed in terms of cash equivalent an asset should bring, considering the present marketplace conditions and assuming an assets' similar utility or use to be sold intact (i.e. bulk sale). It further considers the FMV, as normally defined, which could not be obtained due to restrictions of time and probable conditions not represented under a fair sale transaction.
Orderly Liquidation Value: The most probable market price expressed in terms of cash equivalent, an asset should bring held under an orderly sale condition (as is and removed), given a reasonable period of time to find a hypothetical buyer.
Forced Liquidation Value: The most probable market price expressed in terms of cash equivalent, an asset should bring conducted under conditions of limited exposure time and similar to public auction conditions (i.e. highest bidder).
Report Types
SUMMARY APPRAISAL REPORT
A summary appraisal report is typically utilized for estimating the value of machinery and equipment. On-site inspection details are included in the appraisal report. This USPAP compliant report expresses value as a single figure for each tangible asset valued and the aggregate is reported as a single number.
DESKTOP APPRAISAL REPORT
A desktop appraisal report is typically used to determine value without the expense of an on-site inspection and detailed analysis of the condition of the machinery or equipment. You send us pictures and a brief description of the machinery or equipment and we provide a value based on this information.
When appraising machinery/equipment there are several types of value possible and two types of appraisal reports. Each definition of value will yield a different result for the same piece of equipment. It is imperative that the appraiser you choose understands the intended use and clearly identifies the intended user(s). If not properly identified the appraisal could be misleading and in violation of USPAP. Each report type will yield a similar value conclusion. The desktop appraisal will be based on the extraordinary assumption that there is nothing unknown to the appraiser that would alter the opinion of value and using the typical remaining economic useful life. Desktop appraisals are not acceptable for all intended uses. Be sure to verify acceptance with all of the intended users before ordering this type of report. At 1st Rate Appraisal Services we have years of experience and have appraised property both tangible and intangible for every definition of value identified.
|
