Monday, September 10, 2012

Christmas Decorations

With only 105 days until Christmas, GoIndustry DoveBid are delighted to announce the sale of Christmas decorations including nativity sets, gingerbread couples, sitting santas, baubles, nativity globes and many other items too numerous to list.

Quantities of stock and warehouse prices are shown on http://www.go-dove.com/en/event-16869/Extensive-Stock-of-Christmas-Decorations  . Stock is sold subject to availability. Minimum order value is £500. Discounts of 40% from warehouse price up to £500, over £500 to £4,999 -45% discount and £5,000 plus - 55% discount All orders are subject to packing and delivery charges which will be advised at time of placing order. 

For more information please contact us by following the above link.


Monday, April 23, 2012

GoIndustry Dovebid Launches New Industry Pages

GoIndustry DoveBid, a leading provider of surplus asset management services, announced that it has launched new industry-focused pages on its website, www.go-dove.com, in order to highlight its service offerings to a wide range of industries. The new pages can be accessed immediately at www.go-dove.com/industry and span the industries of BioPharma, Broadcast, Computing, Electronics, Food Services, Industrial, Transportation and more.
GoIndustry DoveBid’s services provide companies with end-to-end solutions for managing their surplus assets, recognizing value and maximizing their return on investment for the entire range of industrial equipment. These services include real-time market and on-site valuations, internal redeployment solutions, and multiple sales channels. The new pages will provide more relevant information for both buyers and sellers of surplus equipment of what is available and options available to them. In addition, industry-specific details on investment recovery programs and redeployment initiatives are aimed to assist major manufacturing groups.
The new pages are organized into 8 major industry groups, with each group providing comprehensive information on how GoIndustry DoveBid can facilitate the buying, selling, managing and valuing of assets within that particular industry, along with a real-time list of featured sales events, equipment sold and news specific to that industry.
Linked to each industry group are pages dedicated to particular equipment categories. Each page displays all the top assets available on go-dove.com within that category of equipment and features a powerful search function that makes it effortless to find a specific piece of equipment.
To simplify navigation of the pages, links are provided so a viewer can browse equipment by sub-category and bookmark, share or track new activity via RSS or Twitter. Access the new pages now and bookmark them for future reference at www.go-dove.com/industry.
About GoIndustry DoveBid
GoIndustry DoveBid, with operations in more than 20 countries, is the global leader in providing asset management, online auction, and valuation services, relating to industrial equipment. Combining asset, industry, and market intelligence together with e-commerce technology, the company serves multi-national corporations, financial institutions, insolvency practitioners, and asset-based lenders throughout the world. GoIndustry DoveBid’s surplus asset management program Go-Optimize is a comprehensive set of services working together that will allow a client to systematically identify, redeploy or dispose of surplus assets. This investment recovery program includes three key components: asset appraisal, asset redeployment and asset remarketing. For more information, visit www.go-dove.com/ or follow us on Twitter at www.twitter.com/Go_Dove

Is This The Solution To The Credit Crunch?

A gloomy risk outlook and hesitant consumer spending has weighed heavy on the asset finance industry, but this type of borrowing could still be the best bet for cash-strapped companies, as Dan Matthews reports.

Although it doesn’t sound like it, the term “asset finance” is actually very broad. It can refer to one of two actions: borrowing in order to buy an asset over time, such as a car or a piece of machinery, for example; or sweating an asset that you already own to release some of its value

Then there is the definition of the “asset”, which could be machinery, property, motor vehicles or just about anything with a cash value. Even money – in the form of invoices sent to trusted payers – can be used to borrow money under factoring or invoice discounting.

The important common ground is that there is a “thing of value” upon which the loan is based, as opposed to a standard loan which is offered or withheld depending on the lender’s assessment of the borrower’s ability to pay it back. Traditional wisdom dictates that this “thing” makes asset finance a good bet for lenders because they have a right to sell the asset should the borrower not be able to repay money owed. It also gives companies, like manufacturers and transport businesses, access to one-off chunks of cash if they find themselves falling behind on cash flow.

But with fewer buyers in the market, assets are harder to shift and prices are coming down. What was rated at one price ten years ago is almost certainly rated lower today.

As Patrick Wilkins, regional director at ABN Amro Commercial Finance, points out: “Assets like machinery and property are dropping in value, not because these figures are being plucked from the air by banks and lenders, but because there is a depressed demand from buyers.” It means sale and lease-back agreements are harder to come by and deals that do happen cover a smaller proportion of assets’ true value. A consequence is that bor- rowers have access to less cash than they did five years ago against the same class of asset.

“Sale and lease-back lenders are a lot coyer than they were before the credit crunch,” explains Tracey Ewen, managing director of IGF Group, which specialises in factoring and invoice discounting. “In the recession values came down and some lenders realised they had over-lent for the new economic environment.

“Since then lenders are concerned about lending more than an asset is worth, so while you might have got £8,000 for something worth £10,000 then, now it would be more like £5,000 or £6,000. It’s the same thing that happened with 100 per cent mortgages, which are fine when the market is going up, but not when it’s coming down.”

Fred Crawley, editor of Leasing Life and Motor Finance publications, agrees that there has been “a fundamental shift in recent years”, even though the market is still strong. “Funders are focusing on the serviceability of the asset finance and so the underlying financial strength of the corporate, rather than the potential re-sale value on possession,” he says.

Since the credit crunch lenders have put a lot more thought into whether borrowers can pay back, even if there is an asset mitigating the risk of a loss. The tougher lending environment and dropping assets prices mean asset backed products are looking more and more like standard loans in the way risk is calculated.

However, the news is not all bad. According to Tom MacDonald, financial services partner at Deloitte, the tightening of lending criteria is far from uniform and, both the likelihood of achieving a deal and the value of the deal, depend greatly on the asset at stake and the solidity of the business applying for the loan.

“Residual values tend to behave in cycles that are very much specific to the asset class,” he says. “For example from a vehicle finance perspective, the reduced number of new vehicle registrations during the earlier periods of the credit crunch has in some months constricted the supply of second-hand vehicles, which has limited the downside risk in terms of asset prices.”


For this and other reasons, the statistics show asset-secured lending is outpacing business banking. In 2011, business written by asset finance companies in the UK was up 10 per cent on the previous year to £19.5 billion, representing more than a quarter of all capital investment by UK firms. Commercial vehicle finance on its own was up 22 per cent to £4.4 billion.

Meanwhile, in the third quarter of 2011, members of the Asset Based Finance Association, advanced £16 billion, an annual rise of 9 percent. In contrast, lending to private non-financial companies dropped 2.3 per cent in the 12 months to the end of September 2011, according to the Bank of England.

The industry agrees that this rise in popularity is because of, not inspite of, the credit crunch. Research by Leasing Life magazine last month revealed that 86 per cent of asset finance business leaders agreed that the current increase in new business volumes was the result of businesses needing an alternative to standard bank funding.

Elaine Shelley, who runs the valuation and advisory business development team at GoIndustry DoveBid, says asset based lending appears to be increasing partly because of its “product attractiveness”. "Facilities granted on the basis of historic information will not necessarily prove flexible enough to meet the future financing needs of a business as it expands, at least without a potentially disruptive round of renegotiation,”says Ms Shelley. “Overdraft facilities can also be withdrawn at any time, which can be of concern in the current environment, when business confidence is at a premium.”

David Grier, a partner at financial consultancy Duff & Phelps, says: “In many situations asset based lending is one of the few solutions to managing growth and planning
for the future.” However, he warns: “Any transaction involving asset based lenders is likely to include a deep dive into the longevity of the organisation, the individuals who are in control of the sector and increasingly important exit routes for the lender.”

And there's the rub. Although asset finance seems to be an industry in rude health, standard lending rules apply. If you are planning to apply for this form of funding for your business, be prepared for due diligence that mirrors any other loan application
“Some lenders will accept riskier clients since they underwrite based primarily on the strength of the asset’s value,” says Mr Crawley. “But these will probably charge a higher rate of interest to cover default risk.

“Others, especially those lending against ‘soft’ assets with weak resale values such as small-ticket IT or catering equipment, will underwrite based entirely on the strength of the customer’s balance sheet.”

His advice is to be flexible and find a provider who can offer expert advice in the asset class you are buying into. The chances are, especially with a lender that is prepared to put time into a deal, that a solution can be found, he says. ABN Amro’s Mr Wilkins says only businesses with certain, easy to sell on, assets need to apply: “In order for businesses to increase their chances of securing asset finance, I'd recommend that they carefully consider the value of those assets,” he says. “For example, a bespoke piece of machinery, which can only be operated by a handful of trained experts, is going to raise much less than a more common piece of machinery because there will be fewer buyers looking to purchase it.”

Mr MacDonald at Deloitte agrees that the asset is everything. “It's an unfortunate reality that some assets devalue over time,” he says. “Anyone who has every bought a new car knows this all too well. Businesses should consider the saleability of their assets before trying to secure finance against them. “In theory, renting higher quality assets should require the lender to place less reliance on the quality of the borrowers own credit profile. Obviously a good track record of consistent payments is also helpful.”

For certain businesses, in particular those needing to buy or finance expensive kit on a regular basis, few forms of borrowing can match the asset-based variety. But whether you are able to conclude a deal or not depends on your needs, your business’s financial strength and, not least, your powers of persuasion.

This article originally appeared in a special report on Funding Britain's Growth, produced by Raconteur Media and published with The Times (UK). For further content by Raconteur Media click here.
Follow Raconteur Media on Twitter: www.twitter.com/@raconteurmedia


GoIndustry DoveBid provides a global marketplace for buyers to source used industrial equipment from multinational manufacturing and R&D companies.

Find out more at www.go-dove.com or follow us on Twitter at www.twitter.com/Go_Dove. Alternatively, register to receive alerts about upcoming events, promotions and services at https://www.go-dove.com/login.asp?targetURL=%2faccounts%2freglite.asp.

Monday, June 20, 2011

GoIndustry DoveBid goes for a Medical

The GoIndustry DoveBid UK valuation team carried out an interesting valuation in March.  One of our major corporate clients required a balance sheet valuation of a 2008 clinical imaging facility with a major UK hospital.    The facility uses the latest technologies in magnetic resonance imaging (MRI) and positron emission tomography (PET). Research focuses on cancer, stroke, neurological and psychiatric diseases.  The facility is GxP compliant for scanning of the spread and distribution of cancers and tumours.

The assets include:

  • 2 Siemens Cyclotron particle accelerators and a Nuclide delivery system;
  •  Hot cells, laboratories and laboratory equipment for the scale production of research drugs;
  • 2 Siemens PET scanners, 2 Siemens MRI scanners, Siemens Invivo scanner and a range of screening and other laboratory and ward assets for the scanning of drug test volunteers;
There were a number of future decontamination issues; the 2 Siemens Cyclotron particle accelerators and the Nuclide delivery system produce a level of radiation in use which contaminates both the machinery and the equipment.  There is also the liability for the eventual decontamination and removal of the assets at the end of their life.

The facility operates under the Radioactive Substances Act (RSA93); under which the operator is required to produce a Decommission Plan for the cyclotron suites and that plan is updated at 5 yearly intervals.  This was one of the first requirements of the sort in the UK in the non-nuclear sector and the first  plan was a prototype report and full of assumptions.  After consultation, we calculated the cost of decommissioning at a significant cost, just less than £1million.

All in all, a complex job with some fascinating assets and an interesting outcome.

For more information on the services GoIndustry DoveBid please see http://www.go-dove.com/

Sampling ”Uisge Beatha” (The water of life)

The GoIndustry DoveBid Valuations Team recently went north of the Border into the Scottish Highlands to sample some of the local “Water of Life”. Unfortunately the sampling was restricted to the completion of our inventory appraisals rather than the quality of the spirit held by both the whisky distillery and the independent bottler of single malt whiskies whose inventories we were appraising.

Given the bespoke nature of the inventory and the specialist market in which the client’s company operated, the commencement of our site work involved several pre-visit conference calls with the lenders credit staff and the involvement of an Independent Whisky Industry Expert whom we engaged as a Consultant to provide additional depth to our analytical work.

The independent bottling division was looking to raise working capital to facilitate the further acquisition of maturing whisky casks with the purchase to be completed by mid December. Working to very tight timescales the Valuations Team completed three separate and much bespoke inventory reports for the lender. The depth of detail within the reports which included both a going concern and a brokerage valuation ensured the deal was sanctioned within the required timescales to facilitate the completion of the cask purchase.

For further information on our experience in this sector please contact us at www.go-dove.com/valuations.

Thursday, June 2, 2011

Fashionable Food

GoIndustry DoveBid recently competed the valuation and sale of a producer of cooked, smoked and cured meats for a major UK insolvency practitioner.

GoIndustry DoveBid carried out a desktop appraisal in mid 2010, details of which were included in the proposal for a Company Voluntary Arrangement at the time. The cooked meats producer had supplied major retailers, food service outlets and public bodies. The loss of key contracts in a fiercely competitive market with continual downward pressure on price from buyers, had meant that there was not enough business to fill the 125 tonne per week capacity of the plant in Milton Keynes, Buckinghamshire, UK. Eventually, the company was not able to cover overheads, despite its agreement with creditors.

The directors and insolvency practitioners, then acting as supervisors to the CVA, asked GoIndustry DoveBid to attend on site in January 2011 to review the 2010 desktop appraisal and to submit a formal valuation report. Simultaneously, the company was offered for sale by the directors, insolvency practitioners and GoIndustry DoveBid in a combined marketing campaign.

Despite numerous enquiries, no party stepped forward to make an initial offer and the administrators were appointed in February. GoIndustry DoveBid was asked to realise the plant and machinery assets and an online auction sale closed in March 2011.

Assets for sale included meat grinders, tumblers, injectors, tenderisers, sausage machinery, smoking, steaming and roasting ovens, slicers and thermoforming packging machines as well as a wide range of ancillary service and factory equipment.

85 parties registered for the sale from 13 different countries, including Peru, Venezuela, Ecuador, India and Malaysia as well as a number of European countries including the UK and Ireland. More than 2,700 bids were received from 72 of those registered.

The sale achieved slightly higher than hoped for. More than three fifths of the gross assets sales came from Ireland, which demonstrates that ther is clearly still cash in the Irish economy, and let’s face it, whilst other sectors may be suffering, food never goes out of fashion.

For more information on the services offered by GoIndustry DoveBid please see our website http://www.go-dove.com/

Thursday, May 19, 2011

Tangible Assets

In Q2 2011, the GoIndustry DoveBid Valuations Team appraised the value of tangible assets for accounting purposes at over 1,100 various public buildings throughout the United Kingdom, primarily back office and front-of-house facilities.

Using a sampling methodology, the GoIndustry DoveBid team of seven valuation specialists visited 81 locations over a five week period. Over 130,000 individual items were inspected, categorised and graded according to condition.

Data provided by the Company was compared with our findings to benchmark it’s accuracy and a range of data points for each site were analysed to identify patterns of asset utility, lifecycle and economic life, current cost and future value, according to the data available,  with the unvisited sites being categorised accordingly.

Following a final review of the assets and the appropriate accounting standard, FRS15, we used the most appropriate methodology for arriving at the Value of the Plant & Equipment to the Business of the asset portfolio. We reported an overall value in excess of £60m.

For more information of the services offered by GoIndustry DoveBid see our website go-dove.com

Monday, May 9, 2011

A Middle Eastern Production

GoIndustry DoveBid were commissioned to produce a valuation of a major Middle East based production studio and television channel on the basis of Fair Market Value – Installed to enable to the client to assess an offer to purchase the company assets.

The facility included multiple television studios, offices, outside broadcast and satellite vehicles.  The assets were all current technology and from tier 1 manufacturers, and included cameras & lenses; lighting; video & audio editing and post production; graphics; ingest and playout; routing, switching and distribution; transmission; archiving; outside broadcast.

Although there is a ready market in the Middle East, there is limited evidence of sales of similar facilities on the open market - the cost approach was therefore used to value the facility, with adjustments for changes in the costs of the assets and removal of any costs irrelevant to the value (e.g. training, expired software licenses and support contracts).

The valuation was completed on time and to the satisfaction of the client – we were also able to complete additional work requested by the client at short notice in order to facilitate the sales process.

For further information on the services offered by GoIndustry DoveBid

Friday, May 6, 2011

Global Semiconductor.

The GoIndustry DoveBid valuation team recently produced a review of the global Semiconductor market for a major European bank.  The review contained the following sections:

-       Introduction 
-       Technology
o   Recent History and Outlook
o   Future Technology
o   Impact on Equipment Pricing
-       New Equipment Market
o   Current Market and Recent History
o   Equipment Purchasing & Global Trends
o   Market Outlook
-       Production Tools
o   Process
o   Equipment Types
o   Major Manufacturers
-       Used Equipment Market
o   Current Market and Recent History
o   Used Equipment Buyers
o   Routes to Market
o   Used Equipment Types & Pricing
o   Market Outlook
-       Summary

Topics covered in the report include wafer size (200mm, 300mm and 450mm or 8”, 12” and 18”) and process nodes (90nm to 11nm), geographic coverage and development, existing and new wafer fabs, tool costing and future technological developments.

This comprehensive report totals 6,500 words (excluding terms and appendices), for further details or to purchase a copy of the report please contact Matt Earl matt.earl@go-dove.com or Neil Smith neil.smith@go-dove.com.

For more information on this and other services offered by GoIndustry DoveBid please see our website http://www.go-dove.com/

Friday, March 11, 2011

Inventory Valuations Get Sticky

The GoIndustry Dovebid Valuations Team was recently engaged by an Asset Based Lender (ABL) to reappraise a manufacturer of self adhesive tapes.  Following a successful MBO supported by an ABL facility, the lender required an inventory reappraisal in order to assess the performance post buy-out.

The company manufacture as well as buy in adhesive tapes in various forms, with inventory on hand comprising of raw materials, work in progress and finished goods.  The work in progress is mainly produced to order and therefore in its own right would generate a relatively high value in an exit scenario. Raw materials together with the factored finished goods were reviewed for ROT, resulting in raw materials being eliminated and an element of finished goods due to the easily identifiable nature of the goods.

Raw Material price pressures had resulted in margins lowering, however with inventory turn improving our overall reported NOLV % was broadly similar to our prior appraisal resulting in the lender maintaining the facility at the same level. The appraisal involved two valuers visiting the company over one site day with site work included a test count, three different cost tests, retention of title and slow moving analysis and an exit cost calculation amongst other tests.

For more information on GoIndustry DoveBid inventory appraisals then please contact the GoIndustry DoveBid Valuations Team.