Finally! Some serious and overdue attention being given to valuation of IP assets.

Having worked in a very niche and specialised are of IP and intangible asset valuation over the last 8 years, it came as a nice surprise when we were approached to be interviewed for an article on IP valuation. We jumped at the chance of course as the subject of IP valuation doesn’t get much airtime from mainstream attention.

The publication who approached us is the World Trademark Review (WTR), a leading global publication on the subject of Trademarks and IP. As reported by WTR (View More), the CEO of the International Trademark Association (INTA) announced that INTA will be taking the lead in getting IP valuation recognised. This is a very encouraging development from one of the world’s biggest IP association.

For too long, valuation of IP rights such as trademark and brands have been consigned to a lonely corner due to a myriad of hurdles, ranging from reluctance of bankers to accept the veracity of IP valuation reports, to resistance from traditional accounting practices which frown on capitalisation of intangible assets into the books.

Regardless of past treatment, we believe that the tide is changing towards wider acceptance of valuation of IP rights. This is very much in line with the trend of increasing market capitalisation of companies which are leaning towards higher capitalisation of intangibles vs. tangible assets. The momentum of this initiative we feel would be fueled by the existing efforts globally from various bodies and agencies which have understood how integral intellectual property assets such as trademarks, patents, copyrights are in business transactions as well as for regulatory compliance and financial reporting.

We wait with anticipated breath on the fruition of INTA’s initiative. We feel optimistic that with their clout and platform, things are being shaken up and it will augur well for IP practitioners and companies who have been prioritising their intangibles as a critical element of their business model.

We plan to publish a series of related articles on the subject of valuation of IP rights, ranging from the serious and boring, to the hilarious and mind boggling by sharing of anecdotes from our valuation assignments. Watch this space.
The Most Valuable Asset in My Business