Is Office Signage a Fixed Asset?
Understanding the Value in Your Business
Office signage does more than brand your premises, it can become part of your long-term business infrastructure. But when it comes to financial classification, is it a fixed asset or simply a marketing expense?
For office managers, operations leads, and finance teams, understanding how your signage is accounted for is key to making smarter, more strategic investment decisions.
In this blog, we look at what qualifies as a fixed asset and what that might mean for office signage decisions.
What Exactly Is a Fixed Asset?
According to the Financial Reporting Standard 102 gives the following recognition criteria for Fixed Assets:
When Does Office Signage Qualify?
Office signage can be treated as either a fixed asset or an expense, depending on how and where it’s used. Here are four criteria you can use to help you:
Use: How Long Will It Last?
✅ Fixed Asset
High-quality, durable signage often has a longer lifetime if well maintained and is used daily.
❌ Expense
Short-term or low value vinyl graphics, seasonal messaging, or temporary desk signage used during refurbishments are more likely to be written off immediately.
Cost & Capitalisation Limit: What Did It Cost?
✅ Fixed Asset
If the total signage package (materials, design, installation) exceeds your capitalisation limit*, it will often be capitalised and depreciated over a set period.
❌ Expense
Smaller projects or individual signs under that threshold & are generally treated as operating expenses.
Purpose & Function: Operational or Promotional?
✅ Fixed Asset
Office signage that supports the infrastructure and identity of your space like company logos in reception, directional signs for visitor flow, or DDA-compliant signage (Equality Act 2010) can be considered part of your property, plant & equipment (PP&E).
❌ Expense
Signage used for internal campaigns, wellbeing messages, or staff events often falls under marketing or facilities budgets and is expensed in-year.
Permanence & Installation: Is It Fixed or Flexible?
✅ Fixed Asset
Signage that is permanently installed like a logo panel fixed to the reception wall, acrylic meeting room identifiers, or branded privacy film on internal glazing typically qualifies.*
Alternatively, exhibition signage used at events long term and frequently could also qualify.
*Subject to your company’s capitalisation policy which usually defines a financial limited order which materials are not capitalised.
Why Office Signage Can Support Strategic Goals
Even when signage doesn’t tick all the boxes as a fixed asset, it still delivers long-term value by:
- Enhancing visibility for clients, visitors and staff
- Boosting employee pride in the workplace
- Improving wayfinding and accessibility, especially in multi-floor offices
- Creating visual consistency across regional locations or departments
Think Long-Term with Office Signage
By understanding whether your signage is a fixed asset or an expense, you not only improve your accounting accuracy, but you can also elevate your approach to workspace investment.
Disclaimer: We’re signage experts, not accountants. This article shares general insights only, always check with your finance team for guidance specific to your business.
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