Given the current economic climate and the volatility in property prices, it is prudent to thoroughly review your company's fixed assets to ensure they accurately reflect their current market value before finalizing this year's financial statements. The most effective method to achieve this is by undertaking a comprehensive asset revaluation. It can have a significant positive impact on financial statements, thus increasing equity capital and creating a valuable opening for negotiating more favourable terms with credit institutions and suppliers.

Though periodic asset revaluation is advisable for all businesses, there are three specific scenarios when doing it right away proves most advantageous:

If the company has recently acquired new fixed assets, such as constructing new facilities, warehouses, or other types of property, or refurbished the existing properties, it's essential to consider revaluation.

If the company's assets include forest or agricultural land that hasn't been revalued in recent years, now is an ideal time to act. The market prices for such properties have surged by 20-30% for forests and 15-25% for agricultural land since H1 2022. Revaluing these assets would substantially strengthen your company's balance sheet, providing a more accurate picture of its current worth.

If the company's assets include production equipment that has been subjected to years of depreciation, it's essential to reevaluate them. Often, the actual value of this equipment far exceeds what standard depreciation calculations suggest.
 

Valuers of Latio possess extensive expertise in evaluating a wide range of properties that companies have as their assets. Our experts have appraised over 100,000 properties throughout Latvia, including residential areas, commercial space (such as offices, hotels, warehouses, industrial facilities, terminals, retail space, and more), diverse business enterprises, and specialized properties like fuel stations, wind farms and solar parks, minor hydroelectric power plants, biogas cogeneration facilities, mineral deposits, peatlands, farms, forests, machinery, equipment, and various other assets. The proficiency of our real estate appraisers is not only affirmed by the certificates they have earned but also by the positive feedback received from our clients.