Intangible assets valuation, including valuation of intellectual property objects
Individual advantages and leading position of the company in today’s economic are due to effective use of unique factors of intangible nature, which include intellectual property objects. For successful commercial activities of enterprises, intellectual property need to be commercialized and a civilized market for them needs to be created.
One of the key elements of transformation of intangible assets to commodity is its valuation, that is a well- grounded systems approach to evaluation of various categories of intangible assets: intellectual property (patents and trade marks), good standing and relationships with customers, as well as the value of contacts concluded.
What it is needed for?
- establishing clear procedures of creation and purchase of intangible assets, as well as for implementation of the process of their effective use
- determining investment criteria in every category of intangible assets corresponding to strategic and financial goals of the whole company and any specific business – unit and line of activities
- understanding the nature of changes in parameters of the value contributing to formation of the positive value of intangible assets
- efficient structuring of transactions with intangible assets, including license and royalty agreements
- correct reflecting the value of intangible assets in both business and tax accounting
- development of a concept of intangible assets management with the purpose of strategic and tax planning
- argumentation and justification of the value of assets to the prospective investor or bank in the process of funds attraction
When is it needed?
- sale-purchase of the company or intangible assets; restructuring, liquidation or bankruptcy of an enterprise possessing intangible assets and other intellectual property objects
- valuation of intangible assets with the purpose of property insurance
- in the course of court proceedings, including assessment of losses related to infringement of property rights and unfair competition
- development of standard procedures and methods, which will provide for possibility and accuracy of both internal and external evaluations of the authorized capital of a company
- elaboration of options for the use of intangible assets and distribution of budgets for intangible assets development proceeding from the existing and further contribution of such assets into the value of the company