The Essential Guide to Machinery and Equipment Appraisals: All You Need to Know
When running a manufacturing, engineering, or industrial plant, machinery and equipment represent major capital investments. Knowing the actual value of production assets is vital for expansion planning, buying/selling at fair prices, securing debt, obtaining insurance, calculating taxes, and other financial decisions. An equipment appraiser provides the expert analysis that managers rely on through detailed asset valuation reports. Understanding Key Factors in Machinery and Equipment Appraisals Equipment appraisers examine the marketplace to assess fair market value (FMV) and replacement value for individual machines or entire fleets of capital assets. Their final reports on machinery and equipment appraisals compile thorough research taking the following critical factors into account: Asset Type – The specific function and output capacity per unit based on make, model, and engineering specifications. Age & Condition – Performance ability accounting for total product...