What is Fixed Asset Tagging and Fixed Asset Verification?

Major financial & asset misappropriation are on the rise with alarming regularity. Due to high capital & revenue expenditure and increasing compliance requirements, it is vital to maintain proper records of Fixed Assets/Inventory and to ensure the existence of such Fixed/Revenue assets.

To avoid misappropriation of assets and maintain organization’s operations seamless, identification, tracking and controlling of assets with tags becomes utmost important.

Benefits of Fixed Asset Tagging and Fixed Asset Verification

1. Regular monitoring and tracking of assets
2. Reduction in theft
3. Saves time and money
4. Correct reporting in financial records
5. Enhanced monitoring for movement between locations
6. Enables efficient resource allocation

Our “Asset Tagging and Verification” Service includes the following

1-Preparation of Fixed Asset Register: Asset tagging begins with a Fixed Asset Register. It is a detailed list of all fixed assets which are owned by a business. It helps to accurately record and maintain financial information of every asset.

Fixed Asset Register Exists in 2 Formats:

• Excel Spreadsheet
• Fixed Asset Management Software

Key Benefits:

• Provides complete information on asset history, current status, and location for audit trail purposes
• Compliance with statutory requirements of Companies Act
• Reflecting an accurate fixed asset value in the balance sheet
• An accurate reference to ensure that the appropriate level of insurance is in place, which in turn avoids any over payment of insurance premiums
• Facilitates a quick & smooth asset audit and verification process
• Simplifies month and year-end processes by providing an up to date asset data
• Improves the utilisation of assets across the business and avoids the duplication of asset purchases

2- Tagging of Fixed Assets: Asset tags are labels that are targeted to monitor and keep a track of the organization’s physical assets. They act as a stable foundation for a smooth process of inventory control of equipment for enterprises.

Asset tags help in managing physical capital, along with tracking and preventing any kind of asset theft/pilferages.

Key Benefits:

• Theft prevention and increased security of assets
• Completion of required compliance

3-Physical Verification of Fixed Assets: Physical Verification of Fixed Assets is a process carried by Auditors, Consultants, and Authorities to make sure that the physical assets by the company exist. This is important for asset tracing and recovery of lost assets if any.

Key Benefits:

• Having a consolidated physical report for all the sites & assets
• Reconciliation between physical count and book count
• Computing differences and identifying the reasons
• Providing physical verification report
• Apprise comfort to Statutory Auditor in compliance with Companies Act

4-Physical Verification of Inventory: is the process of cross-checking financial records with managing a physical inventory or record.

Key Benefits:

• Accurately presented and managed inventory with proper financial records of the company
• Gathering evidence for manufacturing or retail-based businesses that stand for a large balance of assets and capitals
• Identifying if the value of an inventory is accurately presented in financial records and settlements

Our Service Deck:– Fixed Asset Tagging and Fixed Asset Verification Service

To know more about Fixed Asset Tagging and Verification Services, watch this video