The purpose of a valuation is to place a monetary value on the intellectual property owned by a specific business.

Although intellectual property relates to intangible assets it often constitutes a significant component of a business' asset base and in some cases the value of trade marks alone may exceed the value of fixed assets of a business or its working capital.

There may be a number of instances where it may be useful and necessary to determine the monetary value of intellectual property, including trade marks. The following are examples of such instances:

• Commercial transactions relating to mergers and acquisitions
   
• Forming new joint ventures to exploit intellectual property
   
• Valuation of assets with a view of selling a business or a part thereof
   
• Considering aspects of capital gains tax
   
• Negotiating settlements in case of disputes

• Firstly, a full audit is conducted by compiling a comprehensive and accurate inventory of all the components of intellectual property associated with a business or product.
   
• Secondly, a due diligence investigation is then conducted to consider the validity and ownership of those components.
   
• Finally a valuation is made, by determining a fair value for those components by a recognised valuation process.

Need more information?
As valuation services do not only require legal input, but commercial knowledge as well, these services are rendered in close association with and by a separate entity called, Chessmen Consulting, which is a business specialising in valuation processes. Please do not hesitate to contact us, if you require further information.

Tel no: +27 (0) 12 664 8960 Fax no: + 27 (0) 86 633 2977 or +27 (0) 12 644 2515