Asset recovery is more than just regaining capital value from your used digital and IT equipment.
Going through the process of asset recovery can be a daunting job if your business is facing major changes that leave you with an excessive volume of technology assets. The main goal of this strategy is to liquidate the IT assets you longer need. Other than the financial recoup, asset value recovery has other benefits your business can take advantage of. What are these?
Making the Most Out of Asset Value Recovery
Through inventory write-down, the company devalues a portion of its inventory. The depreciated value of your surplus technology is credited as a write-down into your company’s account. This process reduces the taxable revenue of your business.
Reduce Inventory and Storage Space Fee
Storage space can be expensive. Liquidating IT assets means reducing your total inventory and freeing up some storage space. This gives you extra space for other new technology equipment you will acquire in the future.
Waste Prevention and Environmental Benefits
By choosing asset value recovery over disposal of your company’s old technology, you get to efficiently manage and prevent waste. This has no direct financial gains to your business but your contribution to waste prevention shows support to environmental protection, thus reflects good company practices.
Corporate sustainability plan is a sought factor investors look for. Investors support corporations who have long-term plans and goals that also benefit the society and environment. From recycling, waste prevention and reselling refurbished products at competitive prices, asset value recovery is one of the practices that you can use to promote corporate sustainability, and build brand image to attract investors.