The range of assets valued includes equipment found in industrial, manufacturing, processing, tourism and leisure industries, airports, ports, local and national government bodies and councils.
Within the global financial economy that we find ourselves participating asset valuations are becoming more and more necessary as banks, financial institutions, local and central government, business stake holders and the general public seek more information about the value of machinery and infrastructure type assets relevant to them.
In New Zealand for example companies wishing to insure machinery assets that more often than not would cost far more to replace in the event of a loss than the buildings within which such assets are installed need independent verification of asset values and save money in NZ Fire Service levies by having Indemnity values independently assessed; if no assessment is undertaken levies for this purpose are charged on the full replacement insurance amount and our experience shows this saving can run into several thousands naturally depending on the total amounts insured. And as a lot New Zealand businesses, local and central government find insurance cover overseas the demand for accurate, independent insurance asset valuations is increasing.
Local and central government now rely greatly on independent plant and equipment valuation advice for assets especially infrastructural type ones such as water, sewerage, public transport, roading and parks services as the local body rates we pay for example take into account the financial values of such assets thus regular assessment of such values is vital. Commercial asset transactions such as the purchase of all type of properties and businesses require the creation of fixed asset registers resulting from detailed analysis to enable management to understand not only what assets they own but their ongoing values for various purposes. Stricter financial reporting rules and standards in both the public and private sectors in New Zealand in recent times also increase the demand for independent plant and equipment valuation advice.
In 2011 the tax depreciation regime in New Zealand was changed and most building structures from then on were excluded from most tax paying entity’s annual depreciation claims. Within such structures the Building Fitout such as floor coverings, ceilings, air conditioning, lifts etc are required to be independently assessed at the date of purchase to ensure ongoing depreciation claims are acceptable and at the date of sale to establish any depreciation recovery issues as a result of a sale.
Most financial institutions require asset valuations in relation to assets upon which they are asked to advance funds; it is not only on properties this occurs but on industrial and manufacturing plant, hotels, motels, restaurants and transport assets and again independent machinery valuation advice is increasingly sought after.
Our Plant and Equipment valuation division is involved in all of these types of asset valuation on a daily basis and has over 40 years global experience in such matters; please contact John Freeman to discuss your asset valuation requirements in more detail.