Reshaping business and the world by leveraging knowledge intangibles
The act of managing intangibles increases awareness and the value of intangibles?
It is pretty clear that most smaller service companies will have more value in intangibles than tangibles. While standard accounting doesn't accommodate intangibles very well it does seem pretty obvious that companies that treat intangibles as assets to be managed and maximized are more likely to be deserving of the 30 -70 % or more level of intangible asset valuation.
The secret must be in creating awareness of this value to potential investors.
Anyone have insights or case studies on methods, attempts or techniques used to create awareness of the value in a smaller company's intangibles that led to higher sale prices?
Mike
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Replies to This Discussion
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Permalink Reply by Geoff Turner on -
Mike...the awareness of the benefits needs to start with the owner/manager. If you can convince her/him of the advantage of more informative reporting then it will happen, investors will know better what is happening in the organisation and will be more likely to invest long-term.
As far as methods are concerned, there's a company based in Belgium (AREOPA) that has a working model, perhaps a tad complex for my liking, it uses to account for and report on intellectual capital. If you know of them that's super but if not I could get some material from them and send it to you.
Geoff -
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Permalink Reply by Mike Healy on -
Thanks for the feedback Geoff,
I do not know AREOPA and if you can get some information that I could use, that would be very helpful to me.
Kind regards
Mike
Geoff Turner said:Mike...the awareness of the benefits needs to start with the owner/manager. If you can convince her/him of the advantage of more informative reporting then it will happen, investors will know better what is happening in the organisation and will be more likely to invest long-term.
As far as methods are concerned, there's a company based in Belgium (AREOPA) that has a working model, perhaps a tad complex for my liking, it uses to account for and report on intellectual capital. If you know of them that's super but if not I could get some material from them and send it to you.
Geoff -
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