Before a business owner gets his or her assets appraised for insurance, sale or before the sale of a business, there are a few things the owner should do to make sure that the appraisal process goes well.
Make Lists – Write down each piece of equipment that should be appraised. If you have serial numbers, include them in your list. Also put owners’ manuals, maintenance or repair records, and receipts together for the appraiser.
Maintenance – Before the equipment is appraised, clean it and make any necessary repairs. This is especially important if you want to sell the equipment, because this will help you sell it for the highest cost possible.
Know Who You’re Working With – Be sure that your appraiser is an experienced certified machinery and equipment appraiser (CMEA). It is also important for you do know what the appraiser’s report should look like. Typically, a CMEA’s appraisal report would include photographs, model numbers, serial numbers, and other descriptive information. The equipment value is based on research, the appraiser’s inspection, and contact with manufacturers and suppliers of the equipment. A CMEA’s appraisal will always be performed to standards set by USPAP.
The NEBB Institute endorses and strives to observe the highest standards of professional ethics to preserve the public trust inherent in the professional appraisal practice. The Institute provides initial and monthly comprehensive education, ongoing support, and a dynamic international network, and certifies professionals in the art of machinery/equipment appraisal and brokerage.
By: NEBB Institute
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