Faced with the challenge of transferring ownership of a state-of-the-art pilot brewery, the Client, a leading UK university partnered with a global brewer, required a precise equipment inventory and valuation. The facility’s custom-made brewing equipment, designed exclusively for research applications, presented a unique problem as traditional market comparables were unavailable, and the assets held little resale value as a whole. This complexity threatened the accuracy of the accounting transfer and risked undervaluing critical research infrastructure.
First Key deconstructed the custom equipment into individually priced components, applying fabrication allowances to each. This method enabled a granular valuation, supported by adjustments for depreciation and inflation using current banking rates. The solution was delivered in a timely manner, ensuring the Client had actionable data for their asset transfer.
The Client received a comprehensive inventory and a current valuation report, empowering them to complete a proper accounting transfer and unlock new opportunities for asset management. First Key’s innovative approach set a benchmark for valuing unique research equipment, demonstrating measurable impact: the Client gained clarity on asset value, improved financial transparency, and established a precedent for future valuation projects. This engagement highlighted First Key’s commitment to client growth, positioning both organizations to capitalize on emerging opportunities in research-driven brewing operations.
