What is your brand value

Trademark protected brands are an identifiable intangible asset and have their value. Like the valuation of any other company asset it is important for your business to know that value. When do you need to know your brand's value? There are numerous individual reasons or motivations for conducting a brand valuation. Here are the main we encounter. 1) Brand licensing; franchising Before conducting negotiations for licensing-in or licensing-out, a thorough understanding of the value of the brand ensures more informed negotiation and decision-making concerning the terms and conditions of the proposed license, especially in determining fair and robust royalty rates for optimal exploitation of the brand. 2) Sale or purchase of brand Before selling or buying brands, one needs to know the value of the relevant brand to decide whether to proceed with the sale or purchase and, if so, at what price. 3) Merger & Acquisition (M & A) Brand valuation enables the parties to take an informed decision on the acceptable cost of capital or deciding on financial leverage strategy to be followed. Understanding fully the strategic fit and value extraction opportunities of the target’s core and non-core intellectual property assets facilitates post-deal IP integration and maximization of the returns from the acquisition. It also influences positively the resulting company’s value and share price. 4. Enforcement of IP rights Knowledge of the value of a brand influences the decision about the strategy to be used when it is infringed. Brand valuation enables you to decide whether to pursue the infringement through a court action (by filing a suit for infringement), take recourse to alternative dispute resolution mechanisms, such as mediation or arbitration, or consider licensing of the brand to the infringer. In the event of a successful infringement prosecution brand valuation plays an important role in calculating damages, whether those damages are based on an assessment of the infringer’s profits or a reasonable royalty. 5. Strategic Financing and/or Raising Equity/Capital The revenue streams linked to a portfolio of brands can be used to provide the basis for creating brand-backed securities. For such brand-backed securitization, the valuation of your brands is crucial. Book now to find your brand value.