M&E Appraisals Associates, Inc. (M&EAA) specializes in providing machinery & equipment appraisals and inventory appraisals for use by asset based lenders.

M&EAA maintains a nationwide network of certified machinery & equipment appraisers and inventory appraisers. We provide machinery & equipment appraisals and inventory appraisals in all 50 states, as well as Canada, and other international locations.

Asset based loans are structured to provide working capital and/or as term loans, and are secured by accounts receivable, inventory, machinery & equipment and/or real estate. This type of funding is great for startup companies, refinancing existing loans, financing growth, mergers and acquisitions, and management buy-outs (MBOs) and buy-ins (MBIs).

Appraisals that are accomplished for asset based lenders (secured lenders) or are related to a loan transaction are typically prepared on the basis of Forced Liquidation Value or Orderly Liquidation Value.

M&EAA defines Forced Liquidation Value as the estimated gross dollar amount which could typically be realized from a properly advertised and conducted public sale held under forced or distressed conditions and with a sense of immediacy. Inherent in the definition is the disposal of all assets in an “as is” condition with all expenses of removal and transportation incurred by the buyer.  It is assumed that the sale would be conducted by a qualified seller with experience in selling this type of equipment.

M&EAA defines Orderly Liquidation Value as the estimated gross dollar amount which could typically be realized from an orderly sale of the subject assets on a negotiated basis, held under forced or distressed conditions, with a limited marketing period.  Inherent in the definition is the disposal of all assets in an “as is” condition with all expenses of removal and transportation incurred by the buyer.  It is assumed that the sale would be conducted by a qualified broker familiar with this type of equipment.

Note: the specific time period for an orderly liquidation will vary based on the type and quantity of machinery & equipment involved, and more importantly, the costs associated with conducting the sale.  M&EAA’s appraisal reports will clearly state the contemplated liquidation period.  This time period is not arbitrary.  It is established specifically in order to maximize net orderly recovery.

The principal of M&EAA, Gregory F. “Greg” Feinsinger, CMEA has over 25 years of full time machinery & equipment appraisal and inventory appraisal experience. Greg has significant familiarity with the specific appraisal requirements of national and regional asset based lenders.

Please contact Greg directly with any questions related to your pending or existing asset based loan related appraisal requirements.