Our trained inventory specialists will search behind every door and in every closet to identify equipment and capture descriptive data pertaining to each asset.
Fixed Asset Records should be maintained in order to comply with Generally Accepted Accounting Principles (GAAP).
Most organizations are required to provide accurate financial reports on an annual basis. An accurate fixed asset ledger is an integral part of that financial report, as it identifies current assets and their worth.
Considering today's technology, the worth of these assets is ever-increasing.
Twenty years ago, what would you find in an office environment? A few desks, a few PCs, and a printer? How about now? Servers, laptops, teleconferencing systems, VoIP phone systems.
The value of these assets is far more than they used to be, and having an accurate accounting of these assets is crucial.
A wall-to-wall inventory will identify all assets that an organization physically has on-hand. This will enable the organization to ensure they are properly insured for contents.
An accurate inventory report can be used to identify and plan for future equipment purchases.
During an inventory, an organization may locate assets that were assumed to be lost. They may also identify assets that are no longer in use, thereby allowing for items to be sold.
When organizations purchase and receive assets, typically the asset information is sent to the finance department to be entered into the fixed asset ledger and/or general ledger.
At that point, if the asset meets the capital equipment threshold, depreciation is set up. Then, on an annual basis, depreciation is calculated, and items are assumed to still be owned by the organization.
The problem is that if you assume from year-to-year that your asset list is accurate without verifying, the ledger becomes more and more inaccurate.
When you are trying to recover, time is of the essence and the burdens can be great. Your outlook will be much brighter if you are ready beforehand.
An accurate physical inventory will ensure accurate records for business continuity and proper insurance coverage. A wall-to-wall inventory will provide you with a virtual plan for replacing damaged or destroyed equipment. It will also provide the organization with accurate records to provide to the insurance company to enable easier claim processing.
