- Mar 22, 2022
- Reading time: 6 minutes
All Details About Facility Valuation
Facility valuation is the valuation of assets expressed as all Tangible Fixed Assets or Fixed Assets in business ownership. In this article we will give all the details about the plant valuation.
Facility valuation is the valuation of assets expressed as all Tangible Fixed Assets or Fixed Assets in business ownership. It covers the process of making value definitions in accordance with international valuation standards, preparation of the report in accordance with the purpose of use within the framework of valuation methods and approaches. Plant land, buildings, machinery and equipment are reported together with the auxiliary facilities of the enterprise in such a way that they are all together or individually.
In another statement, the facility valuation is prepared for the determination of the fair value of tangible assets in business ownership and rights and benefits based on real estate within the framework of TMS 16 valuation reports. Tangible assets; are included in the accounting system as assets that are purchased on a long-term basis and will not be converted into cash within a year. These are accounts of material value such as buildings, vehicles, machinery and equipment, fixtures.
All kinds of machines operating in different areas and located within the facility require on-site inspection of the equipment course. During the review, the requirements and the state of the enterprise within the framework of International Valuation Standards (IVS) are taken into account. The area in which the facility is operating is evaluated as a whole, taking into account. Valuation can be made to be evaluated on-site and as part of the enterprise or to be treated as a whole, as well as valuation by accepting that the enterprise has not yet been put into production, or a Separate valuations are made for such cases as the whole case.
What is Facility Valuation?
Facility Appraisal covers the process of thoroughly inspecting, testing and questioning all machinery and equipment in the facility. In a world where technology evolves day by day, our commitment to technological tools, machines and equipment is growing. As a result of this, controls, analyzes and reporting also became necessary. All evaluation studies carried out reveal the value of each product. Thus, it is observed how the property held by the company is also affected.
The operation of the facilities owned by the company, the efficiency it receives as a result of the resources it uses, the frequency and difficulty of the efficiency obtained, the parts and machines in the plant, how the plant as a whole tests on all criteria are carried out as it works. Premises are also considered in the category of immovable. This requires on-site examination of every detail inside the premises. In the same way, the facility environment is also examined. Environmental factors can also have unexpected effects on the facility. With all this in mind, each relevant area is analyzed in detail.
Studies are carried out taking into account these situations. As a result of the valuation studies, information about the current state of the facility and its value is revealed. This information is useful both to know the value of your current assets and to take more accurate steps when planning for the future. Facility appraisal applications have important characteristics in many respects and must be done.
What Are the Reasons for Facility Valuation?
Although the facilities belonging to your company will serve you for many years, they will remain the same way after many years. At this point, facility appraisal applications are very valuable information for you to achieve clearer results. Many different criteria are evaluated together, such as the return on all the work done by your facility, the resources it spends in exchange for cash flow and the yield you get from the work done. Staying up to date on all of this is crucial to effectively managing your institution.
Enlisting help from a professional team for facility appraisal work will help you avoid wasting time and have clearer information from the expert's eye.
How is a Facility Evaluation
If you receive support from a professional team, the process of valuing and controlling all types of your facilities will be carried out perfectly. A team of experts in their field consists of individual professional appraisers for each type of facility. Detailed reports emerge as a result of the examinations made by these individuals who are experts in their fields. Facility valuation is a very important report to know the value and status of the facilities you have. It helps you make the right decisions for the future of your company.
Taking some decisions without knowing what you have can put you at a great risk. Your facilities must undergo valuation studies before making particularly important decisions. With valuation services, you can easily meet all your needs and make plans for the future. Property appraisal has a big role when you take more confident steps. The valuations that each facility needs are unique to its own. For this reason, the work should be done by people who are knowledgeable and competent about the facility.
Thanks to professional teams, valuations and controls are carried out in accordance with customers' expectations. Customer service, experts in the field and people who can make individual professional evaluations for each type of facility give answers to your questions. Expert customer service officials help you get the most detailed reports as a result of our agreements. The assessment reports that each facility needs are unique.
You can rely on Endeksa facility appraisal services to ensure that your facilities provide the best services and have the best future.
What Are the Facility Valuation Criteria?
Facility valuation occurs as a result of a fairly thorough examination, which encompasses all the assets of the enterprise.
• The location, size and topographic structure of the real estate are in the first place in the evaluation criteria. It is very important in terms of location assessment whether it is in an industrial area or in an organized industrial zone.
• Whether there is industrial production around it, whether the region is preferred for industrial investments can be ranked among other important criteria.
• How far it is to the main arteries for transporting raw materials and finished products, whether there are alternatives to transportation such as port, airport, train, etc., are also among the criteria to be considered.
• Many criteria can be mentioned for export and import, such as customs or spatial attention to the distance to the free zone.
• Finally, the spatial criterion to be considered is whether there is a facility for the processing of any products produced in the region or products such as mines, petroleum extracted in the selection of space for a specific product . In this case, different constraints may arise in changing hands of the established facility in the selection of product-oriented locations.
In addition to spatial criteria in the facility valuation, it is in structural criteria. It is an important issue for plant valuation in structural criteria. Factories and industrial facilities are usually built with technical infrastructure made according to need.
• In the planning stage, the need for closed space and open space is addressed in the first place.
• The type of structure, height, loading area, trucking park are positioned according to the open and closed area.
• Storage and stock areas, production halls, machine settlements, building bearing capacity in storey structures is another example.
• Administrative department office and social space needs are structured according to some criteria. These are shaped according to the needs such as worker dining hall, dressing and dressing rooms, shower/wc number, social areas in proportion to the number of workers.
• The raw materials used, the size and stock status of the manufactured product, the properties of flammable and explosive materials are the issues to be considered.
• Differences may arise in the internal structure of the facility according to food and hygiene characteristics.
• The structure of fire detection, warning and extinguishing systems, fire water tank, number of indoor and outdoor hydrants are also important headings within structural criteria.
• Details such as staff gathering areas are designed entirely according to the needs of the enterprise.
Facility valuation also takes into account the legal and legal status of real estate along with the specified spatial and structural criteria. Land records, municipalities, land deeds, cadastral institutions such as zoning status, construction permits, architectural projects and licenses are examined. The legal value calculated with the project area subject to legal permissions is specified. If there is a project growth area in the structure, this situation is detailed in the plant valuation report. By combining all the criteria, the final result is reached in the report.
You can contact us for any solutions you need for Facility Valuation and other issues such as real estate consultant.

