Orderly Liquidation Value
Appraisal Terms and Definitions
Orderly Liquidation Value is a professional opinion of the estimated price, expressed in currency, that an asset or company could quickly be sold for, should the company go out of business.
Typically, an Orderly Liquidation Value is the value achieved at a privately negotiated sale so that the assets have an opportunity to draw adequate prospective buyers, ensuring competitive offers are considered. The sale is advertised and professionally managed by a seller. Similar to a Forced Liquidation Value, any type of an alteration to the assets would change the psychological and/or monetary appeal, which would then change the ability to generate the value(s) previously estimated.
Different from a Forced Liquidation Value, the Orderly Liquidation Value assumes that the company can afford to sell its assets in a predetermined time period (often three to six months) through private negotiation. The seller is under duress and has a compulsion to sell the assets in a limited amount of time.
Each asset is sold in the most appropriate mode through the channels of sale distribution that bring in the highest price reasonably. The purchaser understands all assets are sold one by one, on a piecemeal basis, and the purchaser also acknowledges they are sold on the terms of "as is," and "where is" conditions provide that there are no warranties on the assets. This means the asset(s) are sold "as is", without any kind of modification. The "where is" to the purchaser means the asset(s) are the purchaser's responsibility for removing the assets at their own risk and expense.
Maynards has worked in many cities and towns, and they have skillfully handled large-scale projects; we can take care of your auction and appraisal needs.