Equipment appraisals your credit file can lean on.
You need a number that holds up with your committee, your auditors and the examiner. We give you an independent, USPAP-compliant machinery and equipment appraisal, written the way a reviewer reads it, so the value is the easy part of the loan.
Built for lenders
We speak credit, not just appraisal.
One of us came up inside the bank. Jesse Lukes spent years at BMO originating loans and reviewing collateral, so a Lukes & Lukes report is built around the questions a credit officer and an examiner actually ask: is the value independent, is it supported line by line, and will it hold if the loan is questioned later.
You send us the asset list and photos, or we go on-site. We confirm the premise of value with you up front, never quote a number before we have looked at the assets, and deliver one clean report your file can carry.
- Independent and third-party: an opinion of value, never an advocacy number
- Examiner-ready: built to stand up to OCC, FDIC and internal loan review
- The right premise: Orderly or Net Orderly Liquidation Value, often beside Fair Market Value in one file
- Supported line by line: narrative, itemized appendix and photographs in every report
- Senior review: a second certified set of eyes before the file leaves
How it works for you
Three steps to a number you can book.
Send the assets
Email the asset list and photos, or point us at the borrower. We tell you fast whether a desktop appraisal fits or an on-site visit is the better call.
We scope and confirm
We confirm the premise of value, the effective date and the locations, then agree the scope before any work begins. No surprises in the file.
You get one report
A defensible, USPAP-compliant report, itemized and photographed, ready to drop into the credit file and hand to an examiner.
We stand behind it
If the value is ever questioned, the same appraiser supports it, because every figure is documented and traceable.
An asset is worth a number. That number is either defensible, or it isn't. Lenders live on that difference.
Lukes & Lukes · The family standardWhen you need an equipment appraisal
Every loan that touches machinery and equipment.
Commercial lenders, SBA lenders, asset-based lenders, leasing companies and special-assets groups order an equipment appraisal whenever a credit decision turns on what the iron is really worth. These are the situations we see most.
Equipment loans & term debt
Collateral valuation for new equipment loans and capital-equipment financing, so the advance rate rests on a supported number.
Lending & collateral →SBA 7(a) & 504
SBA equipment appraisals prepared to the SOP standard, so the package clears underwriting and the agency without a callback.
SBA financing →Asset-based lending
Orderly and Net Orderly Liquidation Value for revolving lines and borrowing-base certificates, monitored as the collateral changes.
ABL appraisals →Leasing & residuals
Lease underwriting, end-of-lease residual value and fair market value for equipment leasing companies and lessors.
Leasing appraisals →Workouts & recovery
Forced and orderly liquidation value for problem loans, repossession, foreclosure and special-assets recovery.
Liquidation & recovery →Annual reviews & renewals
Updated valuations for loan reviews, covenant testing and renewals, so the file stays current for the next examination.
Loan review support →The values lenders rely on
The premise has to match the loan.
A line of credit, a term loan and a workout do not call for the same number. We set the premise of value to the credit decision in front of you, Orderly Liquidation Value or Net Orderly Liquidation Value for collateral and recovery, Fair Market Value for going-concern and SBA work, Forced Liquidation Value when a sale is compelled, and we can carry more than one premise in a single report when your file needs it.
- Orderly Liquidation Value (OLV): a reasonable sale period, the everyday collateral standard
- Net Orderly Liquidation Value (NOLV): OLV net of the costs to sell, common in asset-based lending
- Forced Liquidation Value (FLV): a compelled, short-timeline sale for recovery scenarios
- Fair Market Value (FMV): going-concern, SBA and financial-reporting contexts
- One report, multiple premises: FMV and OLV side by side when the credit file calls for both
Where we work
Minneapolis based. Lending nationwide.
We are based in the Minneapolis–St. Paul area and appraise equipment for lenders across the country, on-site or as a desktop appraisal from your asset list and photographs. We regularly support loans in Minneapolis, Chicago, New York City, Charlotte, Dallas and Houston, and in metros like Los Angeles, Atlanta, Denver, Phoenix, Seattle, Miami, Nashville, Detroit and Kansas City, plus every market in between.
Common questions from lenders
Answers, up front.
Who can do a fast equipment appraisal in Minneapolis?
Lukes & Lukes is based in the Minneapolis–St. Paul area and appraises machinery and equipment for local lenders, often the fastest option in the Twin Cities because we can be on-site quickly. A desktop appraisal can move quickly once we have your asset list and photographs. Call (612) 504-1691 and we will tell you the same day whether a desktop or on-site appraisal fits your timeline.
Do you provide equipment appraisals for lenders in Chicago, New York, Dallas and Houston?
Yes. We work nationwide. We regularly appraise equipment for lenders in Chicago, New York City, Dallas, Houston, Charlotte and other major metros, either on-site or as a desktop appraisal prepared from your asset list and photographs. The report is the same USPAP-compliant, examiner-ready file wherever the collateral sits.
What is the difference between OLV, NOLV and FMV for a loan?
Orderly Liquidation Value (OLV) is the price the equipment would bring in a reasonable, advertised sale, the everyday collateral standard. Net Orderly Liquidation Value (NOLV) is OLV minus the costs to sell, common in asset-based lending. Fair Market Value (FMV) assumes a willing buyer and seller with no compulsion, used for going-concern and SBA work. We set the premise to your credit decision and can show more than one in the same report.
Will the appraisal satisfy bank examiners and loan review?
That is what the file is built for. Every report is USPAP-compliant, prepared by a Certified Machinery & Equipment Appraiser (CMEA), independent of the deal, and supported with a narrative, an itemized appendix and photographs so an OCC or FDIC examiner and your internal loan review can trace every figure. One of our principals reviewed collateral inside a bank, so the file is built to that standard.
Does the SBA require an equipment appraisal, and who can perform it?
For 7(a) and 504 loans the SBA SOP generally requires an independent, qualified third-party appraisal of equipment above a stated threshold, especially when it is a major part of the collateral or the transaction is a change of ownership. We prepare SBA equipment appraisals to the SOP standard. See our SBA financing page for details.
How fast can you turn around an equipment appraisal for a loan?
It depends on the number of assets, the locations and whether the work is desktop or on-site, but a desktop appraisal can move quickly once we have a clean asset list and photographs. Tell us your deadline when you call and we will tell you honestly whether we can meet it before any work begins.
Can you appraise equipment without a site visit?
Often, yes. A desktop appraisal uses your asset list, photographs and supporting documents and is well suited to many lending files. When the collateral is large, specialized or higher risk, an on-site inspection is the better call, and we will tell you which one your loan needs rather than upsell a visit.
How much does an equipment appraisal cost?
It depends on the number of assets, the number of locations and the premise of value required. We quote the scope and the fee up front, before any work begins, so there are no surprises in the file. Send us the asset list and the reason for the appraisal and we will put a number in front of you.
Do you appraise across different industries?
Yes. We appraise machinery and equipment across healthcare and medical, automotive, and general industry including manufacturing, fabrication, construction and food processing. Whatever the borrower's industry, the situation sets the premise and the specialty brings the asset knowledge behind the number.
Can one report cover several locations or a whole portfolio?
Yes. A single report can cover equipment spread across multiple sites, and we scope staff and scheduling around the number of distinct locations. For ongoing relationships we also provide updated valuations for annual loan reviews and renewals.
Ready when you are
Get a number your file can lean on.
Send the asset list and the reason for the appraisal. We confirm the premise and scope before any work begins, and we never quote a value before inspection.