Plant and Equipment Valuation Standards

Our team here at Plant and Equipment Valuation VIC are committed to providing a service that is always high-quality and of a high professional standard. We do so to ensure every client is satisfied with our work and can achieve the best outcome from their valuations.

We specialise in providing plant & equipment valuation services which include the valuation of a company’s assets and machinery. These valuations can be complex and created to serve many purposes. Our job is to know what is required for each report and which valuation standards must be abided by. There are several boards and organisations that set standards for professional valuers. Here are a few of the industry standards and guidelines we follow when conducting our plant and equipment valuations.

Australian Accounting Standards

The Australian Accounting Standards (AAS) are a standard that is followed and accepted by accountants, businesses, and finance professionals all throughout the country. Their set standards regarding valuations for accounting and financial reporting purposes are followed closely by our professional plant & equipment valuers. These standards have been written by the Australian Accounting Standards Board (AASB) and are heavily based on the International Financial Reporting Standards (IFRS) that have been set and enforced by the International Accounting Standards Board (IASB).

Depending on the purpose of your property, plant and equipment valuation, our valuers may comply with the following:

AASB 3 – Business Combinations
AASB 13 – Fair Value Measurement
AASB 116 – Property, Plant and Equipment
AASB 136 – Impairment of Assets
AASB 140 – Investment Property
AASB 117 – Leases
AAS 4 - Depreciation

As we have stated, the AASB has closely followed the standards originally created by the IASB and has simply tailored them for use in Australia. Our valuers are familiar with both and where appropriate we consider and adhere to IFRS standards which may include:

IAS 16 – Property, Plant and Equipment
IAS 41 – Agriculture
IAS 40 – Investment Property
IAS 3 – Business Combinations
IFRS 6 – Exploration for and Evaluation of Mineral Resources
IFRS 13 – Fair Value Measurement

International Valuation Standards

The International Valuation Standards Council (IVSC) is an independent body that has created the International Valuation Standards (IVS) for the purpose of building trust between valuer and client. These standards are their way of maintaining consistency and professionalism amongst valuers around the world. Their standards ensure our reports are ethical and transparent. These are the general valuation standards we adhere to:

IVS 101 – Scope of Work
IVS 102 – Investigations and Compliance
IVS 103 – Reporting
IVS 104 – Bases of Value
IVS 105 – Valuation Approaches and Methods

There are IVS standards that are specific to asset valuation, these include:

IVS 200 – Business and Business Interests
IVS 210 – Intangible Assets
IVS 300 – Plant and Equipment
IVS 400 – Real Property Interests
IVS 410 – Development Property
IVS 500 – Financial Instruments

Royal Institution of Chartered Surveyors

The Royal Institution of Chartered Surveyors (RICS) is a professional body that is highly respected across the globe for setting and maintaining the standards for all types of property professionals. They have standards for those who value, construct, develop and manage property. We follow their standards and guidelines with each valuation we conduct, particularly, their Australian standards which include:

Aus VPGA 1 – ANZVPS (Australia and New Zealand Valuation and Property Standards)
Aus VPGA 2 – Australian State and Territory Licensing
Aus VPGA 3 – Privacy Legislation in Australia
Aus VPGA 4 – Exceptions to Compliance Requirements
Aus VPGA 5 – Compulsory Acquisition
Aus VPGA 6 – Native Title
Aus VPGA 7 – Australian Accounting Standards

They have written general global valuation standards which our team follow closely and when the situation calls for it, we comply with these more specific valuation standards and guidelines:

VPGA 5 – Valuation of Plant and Equipment
VPGA 8 – Valuation of Real Property Interests
VPGA 3 – Valuation of Businesses and Business Interests
VPGA 1 – Valuation for Inclusion in Financial Statements
RICS Professional Guidance, Global – Valuation of Mineral-bearing Land and Waste Management Sites 2nd Edition
RICS Guidance Note, Global – Measured Surveys of Land, Buildings and Utilities 3rd Edition
RICS Guidance Note, Global – Land Measurement for Planning and Development Purposes 1st Edition

Australian Property Institute

The members of the Australian Property Institute (API), especially those with accreditation, are industry-leading property professionals. These members will be highly educated and have many years of experience. As members of the API, we provide high-quality valuations. We regularly attend their seminar and workshops to continue to develop our skills. On a daily basis, we follow their valuation guidelines which may include:

ANZVGP 109 – Valuation of Rural and Agribusiness Properties
ANZVGP 111 – Valuation Procedures – Real Property
ANZVGP 302 – Valuations of Real Property, Plant & Equipment for Use in Australian Financial Reports
ANZVGP 102 – Market Value of Property, Plant & Equipment in a Business
ANZVGP 206 – Due Diligence
ANZVGP 204 – Development Management
ANZVGP 205 – Feasibility Studies

Professionally High Standards for All Valuations

We can guarantee that every client of Plant and Equipment Valuation VIC will receive a report that complies with both Australian standards for valuations and international standards. Your reports are also tailored to best suit your needs. This means that you can trust in the quality of our reports and be confident in its ability to serve its intended purpose.

To know more about the standards of a plant and equipment valuation or our services, you are more than welcome to get in touch with a member of our team. Our specialists are very knowledgeable and are happy to answer any questions. Send your enquiries to us via our contact form or call us on (03) 9008 7267.