FF&E Tangible Asset Inventory

Just as with your home, when a crime or disaster strikes, you must provide proof of the loss of the contents (Furniture, Fixtures & Equipment) of your small business to your insurance carrier…the faster, the better.

 

Just as with your home, the contents of your small business will be a major portion of your claim.

 

CYA can provide proof with third-party documentation of your FF&E Tangible Assets.

 

As a general rule, items considered in FF&E (Furniture, Fixtures & Equipment) are tangible assets that:

• Are easy to remove from the building.

• Have a useful life of one year or more.

• Aren’t products that a business would typically sell.

 

Examples of FF&E:

• Furniture: Tables, chairs, lamps, sofas, and more.

• Electronic Equipment: Computers are a very common example, as is stereo equipment, phone systems, point of sale (POS) terminals, speakers and other electronics. Security systems are often considered to be FF&E as well.

• Decorative Items: Art, photographs, other items on the walls, and sculptures.

• Lighting: Lamps and lighting fixtures (even if they are technically attached to the building.

• Other business equipment that isn’t a product for sale: For example, in a fitness center, gym equipment such as weights, and cardio machines would be included. In a lending business, an object such as a currency counter would be considered FF&E. In a dry-cleaning business, rotating clothing racks are an asset type likely included in FF&E.

 

What is not included in FF&E?

• Immovable building components: Any fixed asset that would damage the functionality of the building if removed. A few examples would be doors, windows, toilets, faucets, and HVAC units.

• Office supplies: To be included in FF&E, an asset needs to have an expected lifespan of one year or more. So, things like paper, pens, markers, and other office supplies aren't considered to be FF&E, even though you might think of these as business "equipment."

• Consumables: Any food, drink, or paper products aren’t included in FF&E.

• Built-in Furniture: If a building has built-in desks, bookcases, or other non-removable furniture incorporated into its design, it is not part of the building’s FF&E.

• Intangible assets: This should go without saying, but in order to be considered FF&E, an asset must be a tangible piece of equipment.

 

The Bottom Line

To sum it up, items located within a commercial building that are used in the general operations of a business are considered to be FF&E if they aren't part of the building itself and can be reasonably expected to last for more than a year. This is an important concept to know for determining business valuation.

 

Your Cost

The cost of your small business inventory will be provided as a written quotation based on the findings of a free interview and inspection of the site.

 

Our Process

The inventory starts with a video of the outside your business, filming the perimeter. We then enter your business with the video still running taping each and every room of your business and its contents. When the video is complete, we go back to each room and enter your assets on our inventory check list forms. Next, we go into each room and take digital photos of your assets, ensuring that you have an accurate record. If you have receipts, appraisals or photos, we will record them and include them in your FF&E Inventory. Finally, we go back to our office and put your Inventory together.

 

When the process is complete, we will deliver two thumb drives each including:

• Complete exterior video recordings

• Room-by-room interior video recordings

• Computer generated Asset Inventory Checklist listing the assets

   in each room

• Photos taken of the assets in every room

• Appraisals, receipts and and other requested documents are

   included in the inventory

 

Please Note:

If a Hard Copy Portfolio Binder is requested, its delivery could take an additional 2-3 weeks, (at an additional cost).