What information is needed for an equipment appraisal?

I frequently get asked to quote equipment appraisal projects. Often the potential client has never purchased an equipment appraisal before. Before I begin, I review what information is needed to prepare a quote for an equipment appraisal.

  • First is the reason (or need) for the report. The report structure for financing collateral purposes, for example, is different than litigation.
  • Second, we need to know what type of equipment we are appraising.
  • Third, we need to understand the number of items we will appraise. It is usually easiest to prepare a quote for a project with a list that shows a general description of the equipment.
  • Fourth, for this situation, what value (values) type is required.
  • Fifth, does the client want an on-site or a desktop appraisal? If it is an on-site appraisal, we need to know the location (multiple locations) of the equipment.
  • Finally, what is the client’s timeframe to receive a completed report?

As you can see, several variables come into play when quoting an appraisal project. We must quote each project uniquely based on the above factors instead of using a pricing matrix.