Equipment Auctions

Companies may consider equipment auctions when they are asked to leave a rental property and can’t afford to move their equipment from the space, or if the business simply fails for any number of other reasons. The goal of an equipment auction is for the struggling or failing company to quickly sell off equipment with as high a profit as possible.

The first step a company considering an equipment auction should take is to have its equipment appraised by an equipment and machinery appraiser. An appraiser will give that company three different values of its equipment – the orderly liquidation value, the forced liquidation value, and the fair market value – so that the company will have an idea of how much money it could get for its equipment at auction. After the company knows these values, it can contact an auction house. The auction house will send an e-mail blast to interested buyers and make sure that they are aware of the equipment that is up for sale for 45 days prior to the scheduled auction. Then, the live auction takes place at the facility.

In recent years, online auctions have increased in popularity. Incorporating online auctions with live auctions provides significant benefits to both buyers and sellers. Buyers can find the equipment they need without being limited by geography, and sellers have a convenient way to access a larger pool of buyers.

If you are considering an equipment auction, contact Present Value. Present Value’s certified appraisers will represent you throughout the entire transaction. They will tell you the liquidation, forced liquidation, and fair market values of your equipment, and then put you in touch with one of the two auction houses with which the company works.  

By: Present Value

Tags: equipment appraisal, equipment appraiser, Equipment Auctions, Machine Appraisals, machine appraiser
Posted in Equipment Auctions, Machinery & Equipment | 3 Comments »

How Much Does a Machinery & Equipment Appraisal Cost?

At Present Value LLC we typically quote our fee based on the amount of capital items that will be appraised. A capital item is a item that had an original cost basis of $2,000 to $2,500 or more. It is done this way as these items are typically the ones with the most amount of value. Items of lessor original cost basis are considered support items (shop, electronic, furniture) that are included in the appraisal in groups at no additional cost to the client.

Example:

XYZ Company provides Present Value with a asset list. After reviewing the asset list Present Value determines there are 200 total items with 30 capital items. 170 of these items are considered support items and will be placed in different groups and given value at no additional cost. The remaining 30 capital items will be appraised individually as line items. (30 capital items X $90 per capital item = $2,700. Total cost of appraisal $2,700.

For More information or to receive a quote on your next Certified Machinery & Equipment Appraisal please contact Present Value at 866 466 8555 of visit us at www.presentvaluellc.com

By: Chris Spinelli

Present Value LLC

Tags: Equipment Appraisals, Fees, Machine Appraisals, Machinery & Equipment Appraisal Costs
Posted in Machinery & Equipment | 1 Comment »