Valuing your IP assets
By placing value on your IP and placing that value on your on your balance sheet, your business is more attractive to potential investors and buyers.
Other benefits include:
- determining a better idea of the overall value of your business
- providing a tool to measure and manage your assets
- providing security and backing for lenders
- providing taxation benefits (taxation deductions)
- reducing the proportion of business' net worth attributed to goodwill -- important when selling a business.
Identifying intangible assets
In addition to physical assets such as computers or machinery, listed below are examples of some unidentifiable intangible assets that may be found within a typical business.
If you have not already compiled an IP register, you can use these examples a guide to reviewing the intangibles your business already has.
Identifiable intangible assets
- Patents, trade marks and brand names
- Copyrights and industrial designs
- Franchises and licences
- Distribution agreements
- Newspaper mastheads/publishing rights
- Government quotas
- Covenants not to compete
- Secret processes and formulas
- Information databases
- Computer systems software
- Core technology
Unidentifiable intangible assets
- Quality of the management team
- Marketing expertise/market profile
- Management expertise
- Distribution network
- Economies of scale
- Technical skills
- Program rights
Last Updated: 13/12/2012