Heavy Machinery and Equipment Appraisals
Brumbaugh Appraisals appraises all types of heavy machinery and equipment accurately and on your time table.
We have the know-how to accurately appraise heavy equipment and machinery for all purposes including mergers/acquisitions, insurance replacement costs, taxation issues, balance sheet adjustments, the sale of a practice, donations, and lease termination residual values.
Regardless of what type of operation you possess or are interested in purchasing, our trained professionals can accurately and efficiently appraise your heavy machinery and equipment. We have experience appraising excavators, dozers, forklifts, loaders, logging equipment, dump trucks, cranes, and much more. If you are interested in a more in depth look at our procedures, view a summary of our Certified Appraisal Process here.
Types of Appraisals
An appraisal report is the highest level of certified appraisal and is completed using appraiser gathered data and photographs. This level of office equipment appraisal can withstand the scrutiny of litigation, banking / SBA loan requirements, and tax challenges.
Desktop appraisals are the most cost effective type of appraisal. These appraisals meet the detail requirements for most heavy machinery and equipment related purposes, except for banking considerations, litigation, and tax purposes. Desktop appraisals utilize client provided information such as manufactures name, model number, and other pertinent details along with photographs. The entire process is literally done from our desk using client provided information. The reporting for a Desktop Appraisal is virtually the same as a full Appraisal Report with the exception that we state the equipment has not been personally viewed or inspected.
Approaches to Value
While going through the certified appraisal process, we consider three approaches to value establishment. The Cost Less Depreciation, Income Approach, and the Market Data Approach.
• Market Data Approach – the market value estimate is based upon prices being paid in actual market transactions and current listings. Recent sales are analyzed to arrive at a probable value.
• Cost Less Depreciation – this approach to value is conducted by determining the current cost of an asset and deducting for functional and economic obsolescence, depreciation, and physical deterioration. It is based on the principle of substitution, which states that a knowledgeable buyer will not pay more for an asset than the cost to produce a substitute asset with the same utility.
• Income Approach – the Income approach considers future revenue streams to derive a present value. This approach is often tough to implement, given that revenue streams cannot easily be itemized for individual pieces of equipment. However, in some circumstances this approach is very applicable and can be implemented.
We are highly qualified and experienced
All of our appraisal partners are Certified Machinery and Equipment Appraisers (CMEAs) with experience in the heavy machinery and equipment industry. Our team of appraisers is knowledgeable in the items being appraised and current with their appraiser certification credentials. Final reports are always reviewed by Robert Brumbaugh who is a Master Certified Machinery and Equipment (MCMEA) appraiser. Bob is one of 32 MCMEA’s out of the nearly 550 affiliated appraisers around the world.
If you need an appraisal for purchasing previously owned heavy equipment and machinery or buying out an end of lease purchase, Brumbaugh Appraisals can provide Fair Market Value estimates for those items. Selling your heavy machinery? A certified equipment appraisal provided by our team can help ensure that you receive top dollar for the machinery of interest. Heavy equipment can have various values depending upon the condition, upgrades, age and other considerations. While the value of previously owned heavy equipment might seem difficult to determine, our experienced and professional team can give you an accurate and defendable estimate of value at a fair price.
If you have questions or would like to discuss an equipment appraisal in more detail, please call us at 919-870-8258 or send a request for more information.