Fixed Asset Valuation

We establish the fundamental parameters that govern the valuation.

Our support may include:

• Clarifying the intended purpose and users of the valuation.
• Defining the valuation date and relevant basis of value.
• Identifying the assets and locations within scope.
• Understanding the assets’ ownership, use, and operating context.
• Determining the required level of asset detail and analysis.
• Identifying applicable financial reporting, contractual, or other requirements.
• Defining information requirements, assumptions, and scope limitations.
• Agreeing the form and intended use of the valuation report.

We assess the available records and supporting information relevant to the identified asset population.

Our support may include:

• Reviewing fixed asset registers and available asset listings.
• Assessing asset descriptions, classifications, locations, and identifiers.
• Reviewing available acquisition dates, historical costs, and depreciation records.
• Considering ownership documents and other supporting information provided.
• Identifying duplicate, incomplete, inconsistent, or obsolete records.
• Reconciling available asset information at an appropriate level.
• Identifying material information gaps requiring management clarification.
• Establishing the asset data to be used in the valuation analysis.

This work does not constitute a complete verification of ownership, existence, or record accuracy unless such procedures are separately defined in the engagement scope.

Where sitework forms part of the agreed scope, we gather relevant information about the assets’ existence, use, and observable condition.

Our support may include:

• Visiting agreed asset locations.
• Identifying assets against available records and descriptions.
• Observing apparent physical condition and current use.
• Considering age, maintenance, utilization, and operating environment.
• Identifying apparent physical deterioration or functional limitations.
• Discussing asset history and use with relevant personnel.
• Obtaining available technical specifications and supporting documents.
• Recording material observations relevant to the valuation.

The assessment supports the valuation process but does not constitute an engineering, structural, safety, environmental, or legal inspection. Specialist assessment is coordinated where required by the nature or condition of the asset.

We select valuation approaches and methods according to the asset, purpose, and evidence available.

Our support may include:

• Assessing the relevance of market, cost, and income approaches.
• Determining the availability and reliability of market evidence.
• Considering replacement or reproduction costs where appropriate.
• Assessing physical deterioration and functional or economic obsolescence.
• Evaluating whether identifiable asset-level income information is available.
• Applying assumptions appropriate to the asset and valuation basis.
• Reconciling indications produced by different methods where relevant.
• Documenting the rationale for the selected approach and key judgments.

Method selection is engagement-specific. No single approach is appropriate for every asset or valuation purpose.

We assess land and buildings according to their characteristics, location, use, and available evidence.

Our support may include:

• Reviewing location, tenure, use, size, and principal property characteristics.
• Assessing available ownership and property information.
• Considering relevant market transactions and comparable evidence.
• Making appropriate adjustments for differences in characteristics and circumstances.
• Assessing replacement cost and depreciation where a cost approach is relevant.
• Considering current use and other use-related assumptions appropriate to the scope.
• Coordinating specialist property or technical input where required.
• Documenting material assumptions and information limitations.

Legal title, ownership rights, zoning, and regulatory compliance are matters for appropriately qualified legal or technical advisers unless expressly included through separate specialist input.

We value operational assets with regard to their nature, capacity, age, condition, use, and available market or cost information.

Our support may include:

• Reviewing asset specifications, manufacturers, models, and capacities.
• Assessing age, observable condition, maintenance, and utilization.
• Considering remaining useful life for valuation purposes.
• Reviewing replacement costs and relevant depreciation factors.
• Assessing physical deterioration and functional or technological obsolescence.
• Considering economic conditions affecting the assets’ use or demand.
• Reviewing available market evidence for comparable equipment.
• Coordinating engineering or other technical input for specialized assets.

Any assessment of remaining useful life for valuation purposes does not replace management’s accounting judgments or a specialist engineering assessment where one is required.

We consolidate the relevant information, calculations, assumptions, and judgments within a structured valuation conclusion.

Our support may include:

• Presenting the assets and asset categories valued.
• Explaining the valuation purpose, basis, date, and scope.
• Describing the approaches and methods applied.
• Presenting material assumptions and valuation inputs.
• Explaining significant adjustments and professional judgments.
• Identifying information limitations and reliance on client-provided data.
• Presenting valuation conclusions at the appropriate level of detail.
• Responding to reasonable technical queries concerning the issued report.

The report is prepared for its stated purpose and intended users and should not be used for another purpose without assessing whether it remains appropriate.