There are many situations that require an appraisal. Most people are familiar with a real estate appraisal, but businesses also need this service. A business appraiser in Carmel, CA, is a neutral party that uses several tools and methods to determine a company’s value. Here are four reasons why an operation might call for this type of valuation.
1. Selling
When it is time to sell a business, a business appraiser can help the owners and real estate agents come up with a fair market price. If a partnership is going to be dissolved, the remaining party could use this document to determine a buy-out amount.
2. Dispute
A business appraiser in Carmel, CA, can be called in to settle a business dispute. Some common situations are divorce and insurance claims. The report can be helpful to dispute a low insurance claim when damage is done to hard goods or real property.
3. Bankruptcy
The courts will almost always order a business appraisal to resolve a bankruptcy. Because the appraiser is an independent third party, they can give the judge and creditors a value based on data and facts.
4. Loan
If an owner wants to borrow money against their company, the lender will likely want an appraisal. A business loan may or may not involve real estate, and when it is solely on the business, it is vital to know the value of the operation and its assets. For more details on the process of getting and using a business appraisal, contact Savage Accountancy, APC. Follow them on facebook.
