ProBiz is your Qualified and Certified Machinery & Equipment Appraisal Source, serving North Carolina and the East Coast for over 10 years.
Why is an equipment appraisal prepared by a Certified Machinery & Equipment Appraiser essential? If you own a manufacturing, distribution, wholesale, retail or service business you will need to borrow money from time to time. Credit lines and SBA loans now require an appraisal which is performed by a certified appraiser only. Perhaps you want to sell your company and you need to know what the equipment is worth? Or you want to buy a company and re-depreciate the heavily depreciated equipment? Health issues, retirement and transfer to valued employees or children are other reasons. The key is certification. Otherwise it will not stand up to outside verification, an IRS or a court challenge.
NOTE: ProBiz machinery and equipment appraisals meet the elements of a qualified appraisal pursuant to the SBA’s Standard Operating Procedures for lending purposes and AICPA’s Standards of Valuations #1 for CPAs.
Needless to say, a Certified Machinery & Equipment Appraisal Report that is USPAP compliant is of the utmost importance to protect you, your CPA, your broker and others from unsubstantiated and inaccurate values which later can result in a lawsuit.
The top 10 reasons for a certified appraisal:
- 1031 Exchanges
- Loans / Financing/ Leases
- Buy / Sell Agreements
- Mergers & Acquisitions
- Sale of a Business
- Converting From C To S-Corp
- Estate Planning / Insurable Value
- Retirement Planning Trust Planning/
- Partnership Dissolution / Divorce Settlements
- Other Tax Purposes/ Bankruptcy / Insolvency
Not All Appraisal Reports Are Equal!
BEWARE Of Unsubstantiated Values. Find Out What You Need To Know Before You Make A Costly Mistake.
99.9% of appraisal reports fail to accurately value the tangible assets. Why? That’s a great question, and we’re glad that you asked. Inaccurate appraisals are not uncommon, and they can cause serious consequences to your business, as can reliance upon any one of the following methods to determine the value of capital equipment. How many of these methods do you currently use?
- Rely on book value; or
- Rely on the word of a non-certified person who may have a “hidden” agenda.
Are you surprised to learn that all three methods are inaccurate and filled with liability?
If an Appraisal Report is based on guessing, relying on book value, or relying on a word of a non-certified person who may have a “hidden” agenda, the Report will not hold up scrutiny because it lacks substantiation. Not only can values not be substantiated, but the Report itself is not written to reflect the approaches to value, market conditions, photographs and required substantiation that a USPAP Report contains. USPAP (Uniform Standards of Professional Appraisal Practice) was promulgated by Congress and is accepted around the world as the authoritative source for machinery/equipment and business appraisals.