Brand Valuation
Definition
The process of estimating the monetary value of a brand as a standalone intangible asset. Brand valuation methodologies include the relief-from-royalty method (capitalising the royalty income the brand would generate if licensed to a third party), the income method (attributing a proportion of business earnings to the brand), and market-based comparables. The resulting value informs licensing fees, acquisition pricing, and balance sheet reporting in brand-centric transactions.
Related Terms
Related FAQ
What is the Greenfield method and when is it applicable?
The Greenfield method models what it would cost to build the business from scratch using only the subject intangible asset, estimating years to profitability and required investment.
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