Franchise Value

Definition

The intangible premium that a business commands above the fair value of its net tangible assets, reflecting factors such as brand strength, regulatory licences, customer loyalty, and market position. Franchise value is a critical concept in financial services and regulated industries where the right to operate carries significant economic worth.

Related Terms

Fair Market Value Fairness Opinion Firm-Specific Human Capital First-Mover Advantage Founders' Equity

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