What is Fixed Asset Management
Fixed asset management is the process of Capitalisation, accounting, tracking and maintaining an organization’s physical assets and equipment like Vehicles, IT assets, Furniture & Fixtures, Plant and machinery etc. Organizations face a significant challenge to track the location, quantity, condition, maintenance and depreciation status of their fixed assets at any point of time and at the end of FY to reflect correct value in Financial statement. Organisation also faces lot of problems, when assets move from one location to other or put to renovation /facelift without getting same recorded in the books.
How Important it is to Maintain the Fixed Assets?
Pro-Team helps clients manage their Fixed Asset & their Capitalization requirement as an end-to-end service covering the broad areas of capitalization, capturing asset details, ascertaining asset life cycle and maintenance requirement, asset numbering and tagging physical verification & periodic confirmation of their existence to the management. With help of automation and our differential PAN India approach, we make sure that you track, manage and comply your company fixed assets across all your group companies, entities, verticals and branches along with asset verification, tagging and reconciliation on regular basis.
As we all know in many of the industries, 40% of investment is done in fixed assets alone, and maintaining them has become a worrisome task. When a company manages its assets better and more effectively, it is more likely to maximize the value of its investments. In the absence of a fixed asset management system (FAMS), a company may experience various downfalls.
However, business owners can avoid these losses if fixed assets are precisely maintained in a systematic manner.
Advantages of Fixed Asset Tool:
Fixed Asset Verification, Tagging & Reconciliation?
For any company, knowing what assets are physically available as reflected in Balance sheet, their exact physical location, their users and the exact condition is a must not only from compliance perspective but also to ensure that assets are not misappropriated and reflect true and fair disclosure in financial statement. Owing to large number of users and geographically spread location and multiple divisions, Organizations lack accuracy, completeness, and uniformity of data when recording physical assets in a database.