Valuation of IP Rights, Intangible Assets & Goodwill
The course explains the situations in which IP valuations may be required, the sources of guidance and the practical techniques available.
It is a hands-on course full of practical examples of how to apply the techniques including approaches for intangible asset valuations.
The aim of the course is to help you to differentiate intellectual property, intangible assets and goodwill. Please remember to bring a laptop with Excel software for a case study.
What You Will Learn
This course will cover the following:
- When and why must intellectual property be valued?
- What is the difference between intellectual property and an intangible asset?
- What is the difference between goodwill and an identifiable intangible asset?
- What guidance is available?
- Who are the International Valuation Standards Council, IVSC?
- When to engage an expert and how to understand their work
- Where can you find a specialist IP valuer?
- What is meant by a basis of value - fair value, open market value, strategic value etc?
- What are the recent changes and implications of UK GAAP, FRS 102, that hugely increase the number of intangible asset valuations that must be performed?
- What are the consequences of preparing accounts under IFRS?
- What is meant by the value of a brand?
- How should you approach the value of a trademark in a dispute?
- Is it possible to value the relationships a company has with its customers?
- Intangible asset valuation approaches
- Cost, market and income approaches
- Relief from royalty method
- Multi-period excess earnings method
- Premium profits method
- Replacement cost method
- Determining the discount rate
- Do you need to measure the weighted average cost of capital, WACC, for the owning party?
- What is meant by required return on the asset?
- How does the return required on intellectual property differ from that required by corporate owner?
- What if the owner is an individual?
- Overall reasonableness cross checks
- Summary of different types of intangible asset
- Summary of different reasons a valuation might be required
- What would you expect to see in a valuation report?
- How could you challenge a report?
- Participant questions
9:30am - 5:15pm
Please let us know if you wish to be notified when new dates are added for this programme