The methodology used Simon Storey Valuers by for valuation projects are be broadly similar to that used by the Australian War Memorial, National Gallery of Australia and the National Museum of Australia undertaken by this company using the Guidelines on the Recognition and Valuation of Cultural Heritage Assets, Australian Accounting Standard AAS 1 & 29. Simon Storey Valuers adheres to the Australian National Audit Office's accepted approach, being that there are two main components to be used in the valuation of a museum's collection.
The first component of the valuation will be the identification and valuation of the most expensive items in the collections. The second component is items to be on permanent display and the third is the 10% sampling of items from each curatorial category to be determined by the museum. A statistician will undertake analysis and determination of RSE percentage.
While acknowledging that collections vary in size and diversity, using procedures and guidelines established for the valuation of other similar collections, the valuation would be undertaken with a minimum of interruption to the institutions. As demonstrated with other institutions, Simon Storey Valuers experience, combined with our diplomatic and down-to-earth liaisons with staff and management, together with our refined valuation techniques, would ensure a report that satisfies the requirements of the museum.
Insurance - The valuation of entire collections or individual items for insurance is most important for minimising the risks associated with any cultural collection. Be it for loan agreements or a hedge against willful or unintentional damage an insurance schedule is a necessity.
Accounting & Audit - Both state and federal government audit requirements require fair value valuations to be prepared on a regular basis. Under accounting standards AAS 4, institutions are obliged to submit a statement of value of their collections. If in the rare case of an institution being exempt from the requirements it is still regarded as good work practice to prepare a fair value schedule.
Stock-take - The valuations for accounting standards allow for an informal audit of exhibits. As recently illustrated at the Australian Museum the valuation criteria, in part, identified missing items from the collection.