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EXAMPLE OF A BUSINESS APPRAISAL



Basic Cover Letter Breakdown



Month Day, 20

 

Name

Address

Pittsburgh, PA  15220

 

Mr. Name:

 

This report contains the documents and data we have used to appraise NAME OF BUSINESS.  The suggested value-price is the sum of tangible assets and intangible Business value.

 

ASSET VALUE

 

The tangible asset price or asset value represents the current estimated value of the following:

 

1.      Inventories for resale or consumption.


2.      Equipment and vehicles.


3.      Leasehold improvements.


4.      Transferable rights and privileges uncontrolled by scarcity.

 

The estimated current asset value of the company is:  $355,150

 


INTANGIBLE BUSINESS VALUE

 

The intangible asset price of Business value represents the current estimated value of the following:

 

1.      Establishing a customer base which will continue to trade with this company

after being sold.


2.      Securing a location, designing and constructing a floor plan and securing and

installing equipment.


3.      Management systems in place and producing cash flow.


4.      Proprietary rights or limited issue permits.


5.      Training and available consulting time.


The estimated current intangible value of the company is:  $227,493.



ESTIMATED CURRENT MARKET VALUE


The Business Appraisal report with supporting documentation offers several values; therefore, our single value-price conclusion is the average of the documented values.


The estimated current market value of the company is:  $582,643.


Respectfully submitted,


Thomas D. Atkins

Business Appraiser and Consultant