How Equipment Appraisals Impact Business Valuations

February 28, 2023

The conclusion of value in any business valuation includes all operating tangible and intangible assets. Tangible assets can include working capital plus fixed assets such as furniture, fixtures and equipment, normally carried on the most recent balance sheet at historical cost less the depreciation (“net book value”). Intangible assets can include goodwill, licenses and customer lists. The combination of these tangible and intangible assets equals the total value of the business. Therefore, the final value includes all operating equipment ‐ adding the appraised equipment value to a business valuation would be double counting the equipment. So how do we separate the intangible and tangible assets?

Learn more about this topic by Neal Patel, as seen in SBAValue Articles on

Read the complete article here.

Disclaimer: The views, opinions or examples included in linked article are those of the author and do not necessarily reflect an official policy or position of ASA or its members.