Intangible Asset Valuation Methods
This is the pivotal step. Value converts your intangible asset inventory into financial terms — attributing specific monetary value to each asset category using proven valuation methods. This is where the P&L becomes a portfolio.
What happens in the Value step
Valuation takes the scored asset portfolio from the Assess step and applies financial modelling to calculate what each category is worth in economic terms. The result is a defensible, standards-compliant valuation that boards, investors, and acquirers can rely on.
Opagio supports four valuation methods, each suited to different asset types and transaction contexts. The platform guides you to the right method based on the assets you are valuing and the purpose of the valuation — whether that is board reporting, fundraising, M&A, or purchase price allocation under IFRS 3 and ASC 805.
The output is not a single number. It is a structured decomposition showing exactly how value is distributed across your intangible asset categories, with sensitivity analysis showing how changes in assumptions affect the result.
Intangible asset valuation approaches
Relief from Royalty (RFR)
Estimates asset value based on the royalty payments a company would need to make if it did not own the asset. Best for: brand, technology, patents, and licensed IP.
Multi-Period Excess Earnings (MPEEM)
Isolates the earnings attributable to a specific asset by deducting contributory charges for all other assets. Best for: customer relationships, long-term contracts.
With & Without
Compares the enterprise value with the asset versus a hypothetical scenario without it. Best for: non-compete agreements, assembled workforce, key processes.
Cost Approach
Calculates the cost to recreate or replace the asset from scratch, adjusted for obsolescence. Best for: software, databases, training programmes, process documentation.
Read the full valuation methods guide with worked examples →
How we calculate intangible asset value
Intangible Asset Valuator
Input financial data, select valuation methods, and generate structured valuations. Supports dual-taxonomy output (CHS growth categories for strategy, IFRS 3 / ASC 805 for transactions) and 5-year historical analysis.
Sensitivity Analysis
Model how changes in assumptions — discount rates, royalty rates, growth projections, useful life — affect the valuation. Produce range estimates that reflect real-world uncertainty.
Professional Reports
Generate PDF valuation reports with auto-generated narratives, asset decomposition charts, method justifications, and sector benchmarking. Share with investors via secure links.
Your Valuation Report
At the end of the Value step, you have a defensible, standards-compliant valuation of your intangible assets. For many companies, this reveals a significant gap between their accounting book value and their true economic value — often 2–5x higher.
The report includes
- Asset-by-asset valuation using appropriate methods
- Total intangible asset value with decomposition
- Dual-taxonomy output (CHS + IFRS 3 / ASC 805)
- Sensitivity analysis with range estimates
- Sector benchmark comparison
- Shareable PDF with secure link
Who benefits
- CFOs — bridge the gap between book value and economic value
- PE firms — value intangibles in due diligence
- M&A advisors — structure purchase price allocation
- Boards — understand the full value of the business
This is step 3 of 5 in The Opagio Method
Calculate what your intangible assets are worth
Use the free Valuator to model intangible asset value across your business. Go deeper with professional reports and sensitivity analysis.