Alternative Valuation Methodologies
|
|
- Abel Austin
- 7 years ago
- Views:
Transcription
1 Alternative Valuation Methodologies An excerpt from Chapter 4 of The Intangible Assets Handbook By Weston Anson There are several other methodologies used in intangible asset valuation, which can be roughly divided into two types: Variations and specialized methodologies based on the four traditional approaches described in the previous section; and semi-proprietary methodologies in use by various practitioners. Some of these methodologies are specific to a type of intellectual property. For example, as discussed above, the Technology Factor Approach is typically used with early stage technology or patents, although the concepts essentially mirror the relative strength analysis discussed in the Relief from Royalty Approach above. Other methodologies are context driven. As another example, liquidation or orderly disposal valuation processes are used almost exclusively in a bankruptcy or reorganization environment. The analysis and valuation of intangible assets and intellectual property continues to evolve with time, and since the valuation process is a relatively new discipline it s basically only two decades old it has only recently been formalized as a professional practice area. As a consequence, there is constant change, modification, evolution, refinement, and improvement. As a result, also, are a number of variations to the more standard and accepted methodologies. Some of these variations are quite new while others are well established; some are well proven and garner great respect, while others remain controversial. In the next few pages, we will review more than fifteen of those other methodologies and will do so without rendering judgment on their viability or validity. (The reader will note that these alternative methodologies are arranged in alphabetical order without any hierarchy or ranking). As with any discipline, however, one would caution that the use of a proprietary or nonstandard methodology be viewed carefully. In any valuation environment, whether valuing tangible assets or intangible assets, it is in our view imperative that more than one valuation methodology be used whenever possible. It s a noteworthy caution to the reader that a valuation conclusion for intangible assets that is based on only one methodology, particularly if that methodology is one of the specialized or proprietary techniques described below, should be viewed with some uncertainty as to the validity of the value s conclusions. Wherever possible, two or more valuation techniques should be used, and at least one of those should come from the standard methodologies described above. Finally, the balance of this section on alternative valuation techniques and methodologies is provided as an overview. The following list is not intended to be exhaustive, as there are as many variations to the methodologies listed below to at least equal the number described here. Copyright 2010 CONSOR Intellectual Asset Management 1
2 The Brand Value Equation Method (BVE Q TM ) This is a proprietary technique developed by our company to recognize the principle that a brand is composed of multiple intangible assets and intellectual property elements, including trademark, logo, trade dress, etc. A core value for the trademark is calculated and then values for the additional individual intangible assets are calculated. The sum of that core brand value plus the incremental asset values becomes the total brand value. In equation form, it is expressed as follows: BVE Q = CBV + IVE 1 + IVE IVE n The Competitive Advantage Technique Based on the supposition that Company A has an advantage over its competitors because of proprietary technology, patents, trademarks, or software or other intangible assets, this method values that advantage. The competitive advantage can sometimes be measured or quantified based on share of market, market growth, competitive pricing, etc. This is a very useful method where a company s portfolio of intellectual property is diverse, and obviously valuable. While individual pieces of intellectual property within that portfolio may be difficult to measure, this competitive advantage technique allows one to estimate the value of the entire portfolio as used in one (or all) product lines. The Concept of Relative Value This approach works on the premise that one intangible, like a logo, will represent some percentage of value of an associated trademark or brand. If the underlying trademark or brand has a market value of $40M, and given a specific level of use of the logo, one could allocate a relative value of 25% of the total or $10M for the logo. This allocation is typically based on estimates of relative influence and other qualitative data, which tends to give it less credibility than other methods. Cost Savings Method Of Value The amount of money (exemplified by asset usage such as time, materials, effort, or resources) that a company will save using specific intangibles instead of other alternatives is an expression of value. Company A may have a superior blending process that enables it to reduce the number of people and the amount of raw materials needed to modify product lines. These cost savings would be calculated on an annual basis, and then the stream of savings over a number of years would be expressed in present value terms. The Imputed Income Technique This approach is used most often in a domain name or sub-brand valuation. Value is established by looking at the activity generated by the domain name and website relative to overall brand marketing. Imputed income is applied to this percentage of Copyright 2010 CONSOR Intellectual Asset Management 2
3 total activity generated by the domain name or sub-brand. For example, a company s website might be receiving 5,000 Internet hits a day out of a total of 10,000 inquiries being generated from all sources. Assuming each enquiry has a market value to the company of X dollars, and based on projected annual activity levels, the present value calculation for the intangible assets can be performed by calculating: Hits x $ x Time = Value. The Income Differential Method of Value A variation of one of the three traditional methods, the income method, the phrase income differential simply means that a company manufacturing and selling a product will receive less income than a similar company producing the same product, but with the addition of a specific intangible asset such as a trademark. A quick example is the income differential between what Land O Lakes receives for a pound of its butter versus the income received by a second tier company such as Knudsen s for its butter (See Premium Pricing). Liquidation Value Liquidation value is the price that an asset in a distressed situation will command upon transfer in distressed or time critical contexts. Liquidation value scenarios arise most often in Chapter 7 bankruptcy. These values are affected by other assets that may be available in the marketplace. In its simplest form, liquidation value is that current value below which we can, with some certainty, guarantee the price will not fall; although it is important to note that, with each passing month in a liquidation scenario, the value of the intellectual property can decrease by five to ten percent or more. Orderly Disposal Value Orderly disposal value is based on the facts that a company has been acquired or has chosen to wind down its operations over a period of time, and will have time to identify suitable acquisitions for its intellectual property and other intangibles. It can be used in a Chapter 7, an estate process, or a merger and acquisition situation. The decision to shut down a company usually leads to a sharp decline in value in the short-term, but allows the company the opportunity to actively market the assets to a broader group of investors, which ultimately leads to higher intellectual property values than those realized in a last ditch fire-sale or liquidation scenario. Premium Pricing Technique This is a relatively straightforward variation of the income approach. Value for an asset (typically a trademark) is established by looking at the difference between the prices paid for an average product with a trademark compared to an average product without the trademark. The difference between those two prices, the price premium, is then projected on an annual income basis. The net present value of the projected price premium is an indication of the value of the asset. It is important to note that this method may understate the value of a particular asset if, say, the comparable product also features a trademark, albeit one of lower quality. Copyright 2010 CONSOR Intellectual Asset Management 3
4 Profit Split Method of Value The profit split method attributes a share or portion of a company s profitability to an intangible asset. Using this method requires the ability to isolate or expressly separate the intangible asset from other business assets and to allocate some portion of gross revenues, operating income, or net income to the specific intangible asset. Analyzing that share of net income over a number of years is then expressed in current dollars via a present value calculation. This process is often used in valuation environments driven by tax implications. Return On Assets Employed Economists and accountants sometimes use this method to back into the value of the intangible assets. The method at first appears complex. Similar to an accounting calculation for a purchase price allocation, the value of the intangibles assets is determined by first calculating the market return on all of the various tangible asset classes. Any remainder of overall market return after all other assets have been accounted for is then assigned to the intangibles. Every company has three or more classes of assets. These can include tangible assets such as real estate, equipment, factories, etc, as well as intangible assets. Real estate might expect an annual return of 7% on its value. That amount of income would be calculated as attributable to the real estate and isolated from the remainder of the company s total income. This process would then be repeated for each of the other tangible asset groups (factories, plant and equipment, working capital). The balance left after these allocations to the tangible asset groups represents the return to be allocated to the intangible assets as a whole. This amount can then be capitalized and expressed in today s dollars. While technically inspired, it is best used when a company or entity has only a single key piece of intellectual property or a single type of intangible assets best used, for example, in an Oracle, Microsoft or Coca-Cola corporate environment (see ValCALC ). Rules of Thumb The first and most important rule of thumb is that all rules of thumb are faulty. With that in mind, one should be aware that there are rules of thumb used by some practitioners in intellectual property and intangible asset valuation. These include the so-called 25% rule of thumb that allocates one-quarter of a company s operating profit as an imputed royalty for use of the company s intangible assets, and the 5% of sales rule of thumb is used as imputed royalty. The results from applying these so-called rules is a royalty rate and/or attributable cash flow which is then utilized in a traditional Relief from Royalty or Income Approach calculation. Snapshots of Value Method Similar in nature to the subtraction value method outlined below, the snapshots of value method is based on establishing two different values for a company s intangibles: The assumption for the first snapshot is that the company has full access to the ownership of the intellectual property or intangible asset, and the second snapshot of value for the company without that intangible asset. Measuring the difference between the two snapshots establishes the value of the intangible asset. Copyright 2010 CONSOR Intellectual Asset Management 4
5 Subtraction Method of Value Establishing the value of a given intangible asset by valuing a company against another company without the asset the so-called benchmark value defines a difference in value. One might value the cash flows associated with a producer of generic or house brand detergent, for example, against those of a branded manufacturer. In this instance, if the value of the company without a branded product is $20M and the value of the company with an established brand or trademark is $30M on a comparable level of sales, then the subtraction theory says that the value of the trademark is the difference between the two, or $10M. The ValCALC Method A variation of the return on assets employed approach, ValCALC establishes the rate of return or income that each intangible asset class should be earning. Calculations of adequate return are applied to all classes of tangible assets within a company, and then the return for each intangible asset is calculated as a result. VALMATRIX Analysis Technique This proprietary system employs a matrix of the 20 most important predictors and contributors to value for a trademark or a patent. These predictors are then used to score the asset against its peers on dual numerical scales value is therefore established relative to similar brands or trademarks. For example, one would not compare the Levi s trademark to the Toyota trademark or the Target trademark to the Apple trademark. Instead, the Apple trademark would be compared and assessed relative to the Microsoft, Dell, or Gateway trademarks. The numerical score generated by assessing it and weighting the 20 factors in the VALMATRIX analysis is then used to establish a percentile ranking relative to other brands. This ranking or relative value is applied to the appropriate range of market comparables or streams of income. The VALMATRIX technique is especially useful in ascertaining which point in the spectrum of comparable royalty rates is most applicable to a specific patent or trademark. Copyright 2010 CONSOR Intellectual Asset Management 5
Valuation of Intellectual Property Mark Weston, CA, CBV Director, Advisory and Transaction Services
9:30 am 10:15 am Valuation of Intellectual Property Mark Weston, CA, CBV Director, Advisory and Transaction Services Agenda General Valuation Approaches Cost Based Valuation Methods Market Based Valuation
More informationIntellectual Property Valuation Techniques
By Daryl Martin and David Drews* IPmetrics LLC INTRODUCTION Unlike many of the other assets found on a company s balance sheet, the intangible assets, such as patents, trademarks and copyrights, are among
More informationFinancial applications for brand valuation
Financial applications for brand valuation Delivering value beyond the number Creating and managing brand value TM $ $ $ $$ $ $ $ $ $ Interbrand Pg. 2 Financial applications for brand valuation Delivering
More informationChapter 7: Asset Valuation (Intangible Assets)
Chapter 7: Asset Valuation (Intangible Assets) Intangible assets are the most difficult items to quantify and qualify. Typically, most business sellers want a large payout for blue sky (goodwill). Quantifying
More informationA Primer on Valuing Common Stock per IRS 409A and the Impact of FAS 157
A Primer on Valuing Common Stock per IRS 409A and the Impact of FAS 157 By Stanley Jay Feldman, Ph.D. Chairman and Chief Valuation Officer Axiom Valuation Solutions 201 Edgewater Drive, Suite 255 Wakefield,
More informationTax Issues: Transfer Pricing, Royalty Rates and IP Holding Companies
Tax Issues: Transfer Pricing, Royalty Rates and IP Holding Companies An excerpt from Chapter 18 of Fundamentals of Intellectual Property Valuation By Weston Anson Transfer pricing is the practice by which
More informationKey advisory issues Intangible assets: recognising and exploiting their value
Ryan Miller, Ben Moore and Phil Rees Deloitte Key advisory issues Intangible assets: recognising and exploiting their value As economies have evolved over time, so have businesses evolved from being physically
More informationWhere The Value In A Trademark Lies
Where The Value In A Trademark Lies by Zareer Pavri, Senior Manager, Price Waterhouse edited by Richard Wise, FCA, Richard Wise & Associates Trademarks, often valuable assets, pose rather difficult but
More informationDetermining Data Equity: Capture and Calculate Valuation at Risk
Matthew Mikell- IBM Market Manager mgmikell@us.ibm.com IOT North America April 15, 2015 Determining Data Equity: Capture and Calculate Valuation at Risk Agenda Foundations of Capturing Equity Closing Gaps
More informationonetravel@aol.com 954-540-3697
onetravel@aol.com 954-540-3697 Valuation Principles Good Afternoon! I want to thank all of you who have attended our round table discussion in regards to valuations. Having an independent valuation can
More informationValuation of Intangibles under IFRS 3R, IAS 36 and IAS 38
Valuation of Intangibles under IFRS 3R, IAS 36 and IAS 38 Jim Eales Agenda Overview of Purchase Price Allocation under IFRS 3R Valuation of Intangibles - Approaches & Methodologies Impairment Testing (IAS
More informationPurchase Price Allocations for Solar Energy Systems for Financial Reporting Purposes
Purchase Price Allocations for Solar Energy Systems for Financial Reporting Purposes July 2015 505 9th Street NW Suite 800 Washington DC 20004 202.862.0556 www.seia.org Solar Energy Industries Association
More informationChapter 5 Transfer Pricing Methods
Agenda Item 5 Working Draft Chapter 5 Transfer Pricing Methods [This paper is based on a paper prepared by Members of the UN Tax Committee s Subcommittee on Practical Transfer Pricing Issues, but includes
More informationAssets acquired to be used in research and development activities
No. 2014-04 January 30, 2014 What s inside: Overview... 1 Background... 1 Accounting and reporting concepts... 2 Accounting for assets acquired in a business combination that are to be used in R&D activities...
More informationEcon Pro Valuation Methods - General recap and pitfalls. October 1, 2010
Econ Pro Valuation Methods - General recap and pitfalls October 1, 2010 1 Agenda Valuation Dimensions & Applications Valuation Methods Market method Cost method Income method Income method for Intangible
More informationDetermination of Royalty Rates for Trademarks/Brands
Determination of Royalty Rates for Trademarks/Brands Presented to Licensing Industry Merchandisers' Association Advanced Licensing Seminar Scott D. Phillips, C.P.A. March 15, 2006 Copyright 2006 CRA International
More informationChapter 4 Valuation Methods in Intellectual Asset-Based. Management Evaluation Finance
Chapter 4 Valuation Methods in Intellectual Asset-Based Management Evaluation Finance (Supplemental Discussion) This chapter explains one way of thinking for valuation methods in intellectual asset-based
More informationHow to Forecast Your Revenue and Sales A Step by Step Guide to Revenue and Sales Forecasting in a Small Business
How to Forecast Your Revenue and Sales A Step by Step Guide to Revenue and Sales Forecasting in a Small Business By BizMove Management Training Institute Other free books by BizMove that may interest you:
More informationIntangible Appraisal Reports
Intangible Appraisal Reports Business Valuations Intellectual Property Appraisals Building Value Liquidity Realization Michael Gilburd, ASA, President 11811 N Tatum Boulevard Telephone: (480) 361-8655
More informationIntroduction to technology valuation. Chris Moody, 28 th January 2011
Introduction to technology valuation Chris Moody, 28 th January 2011 Valuation.it is the sign of an educated mind not to expect more certainty from a subject than it can possibly provide Aristotle Valuation
More informationIn this chapter, we build on the basic knowledge of how businesses
03-Seidman.qxd 5/15/04 11:52 AM Page 41 3 An Introduction to Business Financial Statements In this chapter, we build on the basic knowledge of how businesses are financed by looking at how firms organize
More informationCopyright 2015, American Institute of Certified Public Accountants, Inc. All Rights Re... Page 1 of 59 STATEMENTS ON STANDARDS FOR VALUATION SERVICES
Copyright 2015, American Institute of Certified Public Accountants, Inc. All Rights Re... Page 1 of 59 Valuation Services VS Section STATEMENTS ON STANDARDS FOR VALUATION SERVICES VS Section 100 Valuation
More informationVALUING PATENTS AND INTANGIBLE ASSETS IN THE SEMICONDUCTOR INDUSTRY
VALUING PATENTS AND INTANGIBLE ASSETS IN THE SEMICONDUCTOR INDUSTRY by Roy Weinstein and Shane Huang I. Introduction A. Intangible Assets Intangible assets include patents and other forms of intellectual
More informationMEASUREMENTS OF FAIR VALUE IN ILLIQUID (OR LESS LIQUID) MARKETS
MEASUREMENTS OF FAIR VALUE IN ILLIQUID (OR LESS LIQUID) MARKETS Objective The objective of this paper is to discuss issues associated with the measurement of fair value under existing generally accepted
More informationChapter 5. Transfer Pricing Methods. Agenda Item 5. Working Draft for the October 2011 Geneva meeting. Chapter 5A Traditional Methods
Agenda Item 5 Working Draft for the October 2011 Geneva meeting Chapter 5 Transfer Pricing Methods [This paper is based on a paper prepared by Members of the UN Tax Committee s Subcommittee on Practical
More informationOVERVIEW. The goals of this paper are to:
Private Equity Investments: A Review of Current IRR Practice and an Alternative Approach to Evaluating Private Equity Investments Stephen C. Johnson and Brian D. Uchikata OVERVIEW Generally, the analysis
More informationUNLOCKING VALUE IN OPERATIONAL ASSETS
UNLOCKING VALUE IN OPERATIONAL ASSETS Can asset monetization benefit your company? By Bill Miller and Rich Wightman, ISG Directors www.isg-one.com INTRODUCTION Asset monetization is a business transaction
More informationBody of Knowledge for Professional Business Valuation Certification Programme
Body of Knowledge for Professional Business Valuation Certification Programme Copyright 2014 Institute of Valuers and Appraisers of Singapore. All rights reserved. Copies of this Body of Knowledge may
More informationUnderstanding Currency
Understanding Currency Overlay July 2010 PREPARED BY Gregory J. Leonberger, FSA Director of Research Abstract As portfolios have expanded to include international investments, investors must be aware of
More informationChapter 2 Balance sheets - what a company owns and what it owes
Chapter 2 Balance sheets - what a company owns and what it owes SharePad is packed full of useful financial data. This data holds the key to understanding the financial health and value of any company
More informationUnderstanding the Appraisal
Understanding the Appraisal Understanding the Appraisal Much of the private, corporate and public wealth of the world consists of real estate. The magnitude of this fundamental resource creates a need
More informationNOTICE: For details of the project history please look under the Work Plan section of this website.
NOTICE: This Exposure Draft is available to show the historic evolution of the project. It does not include changes made by the Board following the consultation process and therefore should not be relied
More informationAN INTRODUCTION TO REAL ESTATE INVESTMENT ANALYSIS: A TOOL KIT REFERENCE FOR PRIVATE INVESTORS
AN INTRODUCTION TO REAL ESTATE INVESTMENT ANALYSIS: A TOOL KIT REFERENCE FOR PRIVATE INVESTORS Phil Thompson Business Lawyer, Corporate Counsel www.thompsonlaw.ca Rules of thumb and financial analysis
More informationIDG Ventures Vietnam Guide to Writing a Business Plan
IDG Ventures Vietnam Guide to Writing a Business Plan Initial Phase: Formulating the Idea You have a great idea for a company now is the time to do your homework. Before writing a business plan, extensive
More informationINTELLECTUAL PROPERTY VALUATIONS
INTELLECTUAL PROPERTY VALUATIONS WISE, BLACKMAN LLP Canada ctremblay@wiseblackman.com AGENDA Intangible asset categories When is a valuation required? Components of fair market value Fair value for financial
More informationInternational Glossary of Business Valuation Terms*
40 Statement on Standards for Valuation Services No. 1 APPENDIX B International Glossary of Business Valuation Terms* To enhance and sustain the quality of business valuations for the benefit of the profession
More informationA Closer Look at Purchase Price Allocations
A Closer Look at Purchase Price Allocations Companies making acquisitions must comply with the Fair Value accounting rules of ASC 805, Business Combinations, and should consider an independent valuation
More informationThe increasing importance of brand and intangibles in industry April 2014
www.pwc.com.cy The increasing importance of brand and intangibles in industry Tony Hadjiloucas Partner tony.hadjiloucas@cy.pwc.com Direct line: +357 25555270 Mobile: +357 99411990 Content Introduction
More informationChapter 6. Transfer Pricing Methods. 6.1. Introduction to Transfer Pricing Methods
Chapter 6 Transfer Pricing Methods 6.1. Introduction to Transfer Pricing Methods 6.1.1. This part of the Chapter describes several transfer pricing methods that can be used to determine an arm s length
More informationSTATUS Final EFFECTIVE DATE N/A
ILLUSTRATIVE EXAMPLES TO ACCOMPANY IFRS 13 FAIR VALUE MEASUREMENT UNQUOTED EQUITY INSTRUMENTS WITHIN THE SCOPE OF INTERNATIONAL FINANCIAL REPORTING BULLETIN 2013/06 Summary In December 2012, the IFRS Foundation
More informationIP Valuation. WIPO Workshop on Innovation, Intellectual Asset Management and Successful Technology Licensing: Wealth Creation in the Arab Region
IP Valuation WIPO Workshop on Innovation, Intellectual Asset Management and Successful Technology Licensing: Wealth Creation in the Arab Region Muscat, Oman, December 12 and 13, 2011 Topics Intangibles
More informationAPX GROUP HOLDINGS, INC. REPORTS FIRST QUARTER 2014 FINANCIAL RESULTS
APX GROUP HOLDINGS, INC. REPORTS FIRST QUARTER 2014 FINANCIAL RESULTS 1st Quarter Financial Highlights Total revenues of $130.2 million for the first quarter 2014, an increase of 21.8%, compared to $106.9
More informationWHITE PAPER NO. 45 SECONDARY INVESTING IN PRIVATE EQUITY
WHITE PAPER NO. 45 SECONDARY INVESTING IN PRIVATE EQUITY Greycourt White Paper White Paper No. 45 A Brief Primer on Secondary Investing in Private Equity M uch has been written recently about secondary
More informationDavis New York Venture Fund
Davis New York Venture Fund Price Is What You Pay, Value Is What You Get Over 40 Years of Reliable Investing Price Is What You Pay, Value Is What You Get Over 60 years investing in the equity markets has
More informationConcentrated Stock Overlay INCREMENTAL INCOME FROM CONCENTRATED WEALTH
Concentrated Stock Overlay INCREMENTAL INCOME FROM CONCENTRATED WEALTH INTRODUCING RAMPART CONCENTRATED STOCK OVERLAY STRATEGY When a portfolio includes a concentrated equity position, the risk created
More informationAmerican Society of Appraisers. ASA Business Valuation Standards
American Society of Appraisers Business Valuation Standards This release of the approved Business Valuation Standards of the American Society of Appraisers contains all standards approved through February,
More informationLOGO BUSINESS SOLUTIONS
LOGO BUSINESS SOLUTIONS Analyst Presentation for FY 2014 Gülnur Anlaş Chief Financial Officer February 16, 2015 12 1 Disclaimer This presentation contains information and analysis on financial statements
More informationPractice Bulletin No. 2
Practice Bulletin No. 2 INTERNATIONAL GLOSSARY OF BUSINESS VALUATION TERMS To enhance and sustain the quality of business valuations for the benefit of the profession and its clientele, the below identified
More informationDataline A look at current financial reporting issue
Dataline A look at current financial reporting issue No. 2013-24 November 25, 2013 What s inside: Overview... 1 At a glance... 1 The main details... 1 Contents of the Guide... 2 Concepts and application
More informationBusiness Plan & Guidance Notes July 2014
Business Plan & Guidance Notes July 2014 For more information please contact: Iheanyi Ibe Enterprise Support Officer Cardiff University Enterprise Centre for Skills, Enterprise and Volunteering (CSEV)
More informationNathaniel M. Marrs, Louis D. Hellebusch and Krishnakshi Das. The Basics: Manager Carried Interest and The Fund Distribution Waterfall
Nathaniel M. Marrs, Louis D. Hellebusch and Krishnakshi Das A number of variations in distribution waterfall terms enable managers and investors to tailor the timing of distributions of profits to the
More informationMethods For Patent Valuation (Session 5A)
International Conference On IP As An Economic Asset: key Issues In Exploitation And Valuation Berlin, July 1st 2005 Methods For Patent Valuation (Session 5A) Guido von Scheffer, IPB AG + Dr. Martin Zieger,
More informationBEPS ACTIONS 8-10. Revised Guidance on Profit Splits
BEPS ACTIONS 8-10 Revised Guidance on Profit Splits DISCUSSION DRAFT ON THE REVISED GUIDANCE ON PROFIT SPLITS 4 July 2016 Public comments are invited on this discussion draft which deals with the clarification
More informationPortfolio Management Tools
METAspectrum SM Evaluation 100 Leader 80 60 40 Challenger United Management Technologies Expert Choice ITCentrix PlanView Pacific Edge Alinean Artemis Enrich Consulting Business Engine ProSight 20 0 0
More informationThree approaches to valuing intangible assets
CGMA TOOLs Three approaches to valuing intangible assets Powered by CONTENTS Two of the world s most prestigious accounting bodies, AICPA and CIMA, have formed a joint-venture to establish the Chartered
More informationFAIR VALUE ACCOUNTING: VISIONARY THINKING OR OXYMORON? Aswath Damodaran
FAIR VALUE ACCOUNTING: VISIONARY THINKING OR OXYMORON? Aswath Damodaran Three big questions about fair value accounting Why fair value accounting? What is fair value? What are the first principles that
More informationEXIT PLANNING & TRANSACTION ADVISORY SERVICES
EXIT PLANNING & TRANSACTION ADVISORY SERVICES One day you will sell your business. Are you ready? After dedicating yourself to building your business, you want to make sure all the hard work pays off when
More informationSankaty Advisors, LLC
Middle Market Overview March 2013 Overview of Middle Market We view the middle market as having three distinct segments, defined by a company's ownership type, prospects, and access to capital. Companies
More informationValuation of a business, Part 3
Valuation of a business, Part 3 By TOM McCALLUM, FCGA, CBV This is the last of three articles by Mr. McCallum on Valuation of a business to be carried on PD Network. Testing the valuation conclusion Cash
More informationA primer in Entrepreneurship. Chapter 4: Writing a Business Plan
Chapter 4 Writing a Business Plan Prof. Dr. Institute for Strategy and Business Economics Chapter 4: Writing a Business Plan Table of Contents I. The Business Plan I Presenting the Business Plan to Investors
More informationINFORMATION FOR OBSERVERS
30 Cannon Street, London EC4M 6XH, United Kingdom Tel: +44 (0)20 7246 6410 Fax: +44 (0)20 7246 6411 E-mail: iasb@iasb.org Website: www.iasb.org International Accounting Standards Board This document is
More informationSMALL BUSINESS DEVELOPMENT CENTER RM. 032
SMALL BUSINESS DEVELOPMENT CENTER RM. 032 THE BUSINESS VALUATION PROCESS: BUYING/SELLING A BUSINESS (c) Revised January, 2013 Board of Regents, University of Wisconsin System Julie Britz, Writer; Mark
More informationValuation Practice. ICM Advisors. Intellectual Property & Intangible Assets. Leverage the intangible assets INTELLECTUAL CAPITAL MANAGEMENT
Valuation Practice Intellectual Property & Intangible Assets ICM Advisors INTELLECTUAL CAPITAL MANAGEMENT Leverage the intangible assets Business needs drive IP Valuation Intellectual Property (IP) and
More informationGetting Your Keywords Right
Getting Your Keywords Right Workbook How to Get Your Keywords Right The purpose of this workbook is to help marketers understand the first step in improving your organic search results. In order to drive
More informationValuation of Your Early Drug Candidate. By Linda Pullan, Ph.D. www.sharevault.com. Toll-free USA 800-380-7652 Worldwide 1-408-717-4955
Valuation of Your Early Drug Candidate By Linda Pullan, Ph.D. www.sharevault.com Toll-free USA 800-380-7652 Worldwide 1-408-717-4955 ShareVault is a registered trademark of Pandesa Corporation dba ShareVault
More informationGrooming Your Business for Sale
PRIVATE COMPANIES Grooming Your Business for Sale Plan for the Future but Be Prepared for the Unexpected KPMG ENTERPRISE 2 Grooming Your Business for Sale Grooming Your Business for Sale Plan for the Future
More informationEquity Risk Premium Article Michael Annin, CFA and Dominic Falaschetti, CFA
Equity Risk Premium Article Michael Annin, CFA and Dominic Falaschetti, CFA This article appears in the January/February 1998 issue of Valuation Strategies. Executive Summary This article explores one
More informationHitachi Transfers Hard Disk Drive Business to Western Digital
FOR IMMEDIATE RELEASE Hitachi Transfers Hard Disk Drive Business to Western Digital Irvine, Calif., U.S., and Tokyo, Japan, March 7, 2011 --- Western Digital Corporation (NYSE: WDC, WD ) and Hitachi, Ltd.
More informationOVERVIEW OF CONTRACTUAL AGREEMENTS FOR THE TRANSFER OF TECHNOLOGY
OVERVIEW OF CONTRACTUAL AGREEMENTS FOR THE TRANSFER OF TECHNOLOGY I. Introduction 1. Simply put, technology transfer is the process by which a technology, expertise, knowhow or facilities developed by
More informationCondensed Interim Consolidated Financial Statements of. Canada Pension Plan Investment Board
Condensed Interim Consolidated Financial Statements of Canada Pension Plan Investment Board September 30, 2015 Condensed Interim Consolidated Balance Sheet As at September 30, 2015 As at September 30,
More informationUses and Limitations of Ratio Analysis
Uses and Limitations of Ratio Analysis Balkrishna Parab ACS, AICWA balkrishnaparab@jbims.edu F inancial statement analysis involves comparing the firm s performance with that of other firms in the same
More informationSecuritisation of intellectual property assets in the US market
Securitisation of intellectual property assets in the US market William J. Kramer and Chirag B. Patel Marshall, Gerstein & Borun, Chicago, IL Corporations that have little or no tangible assets are able
More informationValuing the Business
Valuing the Business 1. Introduction After deciding to buy or sell a business, the subject of "how much" becomes important. Determining the value of a business is one of the most difficult aspects of any
More informationDefining Issues June 2013, No. 13-28
Defining Issues June 2013, No. 13-28 AICPA Issues Practice Aid for Valuation of Privately-Held-Company Equity Securities Issued as Compensation The AICPA recently issued a Practice Aid addressing the valuation
More informationValuation of Intangibles for Transfer Pricing Purposes: Convergence of Valuations for Transfer Pricing Purposes with Valuation for Other Purposes
Valuation of Intangibles for Transfer Pricing Purposes: Convergence of Valuations for Transfer Pricing Purposes with Valuation for Other Purposes Context Presentation to Working Party No. 6 of the Committee
More informationContact: Ken Bond Deborah Hellinger Oracle Investor Relations Oracle Corporate Communications 1.650.607.0349 1.212.508.7935
For Immediate Release Contact: Ken Bond Deborah Hellinger Oracle Investor Relations Oracle Corporate Communications 1.650.607.0349 1.212.508.7935 ken.bond@oracle.com deborah.hellinger@oracle.com CLOUD
More informationQuality of earnings Focus on integrity and quality
Quality of earnings Focus on integrity and quality Integrity and quality have always been among the key focus areas of the Indian financial reporting system. However, recent events have shown that there
More informationMaximizing Your Equity Allocation
Webcast summary Maximizing Your Equity Allocation 130/30 The story continues May 2010 Please visit jpmorgan.com/institutional for access to all of our Insights publications. Extension strategies: Variations
More informationBUSINESS PLAN TEMPLATE AND GUIDE FOR ANCHOR COMPANIES
BUSINESS PLAN TEMPLATE AND GUIDE FOR ANCHOR COMPANIES IN NKEA AGRICULTURE COMPANY NAME: (company registration number: XXXXXX-Y) ADDRESS: TEL: FAX: URL: NOTE: This document serves ONLY as a reference guide
More informationProposed Statement of Financial Accounting Standards
FEBRUARY 14, 2001 Financial Accounting Series EXPOSURE DRAFT (Revised) Proposed Statement of Financial Accounting Standards Business Combinations and Intangible Assets Accounting for Goodwill Limited Revision
More informationA Primer on Calculating Goodwill Impairment: Valuation Issues Raised by Financial Accounting Statement 142 1
A Primer on Calculating Goodwill Impairment: Valuation Issues Raised by Financial Accounting Statement 142 1 by Dr. Stanley Jay Feldman Chairman, Axiom Valuation Solutions April 2004 1 This is a revised
More informationTechnical Factsheet 167
Technical Factsheet 167 Valuing trading companies CONTENTS 1. Introduction 1 2. Earnings based approaches and multiples 1 3. DCF approaches 5 4. Assets based approaches 6 5. Normalisation of earnings 6
More informationThe investment world in your own account
Merrion Solutions is a division of Merrion Stockbrokers Limited. Merrion Stockbrokers Limited is regulated by the Central Bank of Ireland. Merrion Stockbrokers Limited is a member firm of the Irish Stock
More informationSeven Principles of Change:
Managing Change, LLC Identifying Intangible Assets to Produce Tangible Results Toll Free: 877-880-0217 Seven Principles of Change: Excerpt from the new book, Change Management: the people side of change
More informationCreating and Maintaining a Professional Practice
Creating and Maintaining a Professional Practice Provided by The AIA Trust in coordination with Victor O. Schinnerer & Company, Inc. Starting your own firm is a challenge; structuring it to survive is
More informationMaking Strategic Decisions with Oracle Advanced Planning. An Oracle White Paper September 2006
Making Strategic Decisions with Oracle Advanced Planning An Oracle White Paper September 2006 Making Strategic Decisions with Oracle Advanced Planning SUMMARY Strategic decision making is more important
More informationEstimated Impact of Medicare Part D On Retiree Prescription Drug Costs
Estimated Impact of Medicare Part D On Retiree Prescription Drug Costs By Richard Marchel, FSA, MAAA Kevin Dolsky, FSA, MAAA Table of Contents Sections I. Description and Purpose... 1 II. Data and Methodology...
More informationAmerican Society of Appraisers. ASA Business Valuation Standards
American Society of Appraisers ASA Business Valuation Standards This release of the approved of the American Society of Appraisers contains all standards approved through November 2009, and is to be used
More informationCredit Union Merger Accounting Guidance
55 East Fifth Street, Suite 1020 Alliance Bank Center Saint Paul, MN 55101 651.224.1200 www.wilwinn.com Released March 2013 - Version 2 Credit Union Merger Accounting Guidance Following are some of the
More informationNationwide Building Society
Nationwide Building Society Interim Management Statement Q1 2016/17 Underlying profit Statutory profit before tax has been adjusted for a number of items, consistent with prior periods, to derive an underlying
More informationInvestment manager research
Page 1 of 10 Investment manager research Due diligence and selection process Table of contents 2 Introduction 2 Disciplined search criteria 3 Comprehensive evaluation process 4 Firm and product 5 Investment
More informationGoodwill As It Evolves. By: David D. Riley
Goodwill As It Evolves By: David D. Riley Disclaimer: This article is distributed with the understanding that the information contained does not constitute legal, accounting or other professional advice.
More informationValuation for merger and acquisition. March 2015
Valuation for merger and acquisition March 2015 Flow of presentation Valuation methodologies Valuation in the context of Merger and Acquisition Indian Regulatory Environment and Minority Interest Safeguard
More informationPrinciples and Practices in Credit Portfolio Management Findings of the 2011 IACPM Survey. www.iacpm.org
Principles and Practices in Credit Portfolio Management Findings of the 2011 IACPM Survey www.iacpm.org TABLE OF CONTENTS I. INTRODUCTION...3 Survey Results Overview...3 Credit Portfolio Management Business
More informationValuing Real Property Going Concerns
Valuing Real Property Going Concerns By Paul R. Hyde, EA, MCBA, ASA, ASA, MAI The Problem Most everyone agrees that valuing real property falls under the purview of real estate appraisers and requires
More informationHow to Maximize the Value When Selling Your Management Company
WHITE PAPER How to Maximize the Value When Selling Your Management Company INSIDE THIS REPORT Rational for Selling Management Company Valuation Acquisition Deal Structure Tips to Optimize Your Exit Value
More informationUniversity of Kentucky
University of Kentucky Debt Policy Purpose To fulfill its mission, the University of Kentucky must make ongoing strategic capital investments in academic, student life, healthcare, and other plant facilities
More informationExecutive Summary... 2. Isilon Storage Increases Utilization And Efficiency While Adding Flexibility... 2. Factors Affecting Benefits And Costs...
TABLE OF CONTENTS Executive Summary... 2 Isilon Storage Increases Utilization And Efficiency While Adding Flexibility... 2 Factors Affecting Benefits And Costs... 3 Disclosures... 4 TEI Framework And Methodology...
More informationWe are continuously searching for opportunities
NOTES ON VALUE INVESTING We are continuously searching for opportunities to invest in companies that possess the balance sheet strength, competitive advantages, operating efficiencies and appreciation
More informationGlobal Architectures & Standardization. Mark Chernoby Scott Garberding
Global Architectures & Standardization Mark Chernoby Scott Garberding Agenda Key characteristics that define architecture flexibility Architecture convergence Standardization of modules/components Benefits
More information