A trademark is a distinctive sign, a name, an expression, a logo, a color, or even a sound which enables the customer to recognize the products or services of a company from its competitors. It is an intangible asset like a patent, a know-how, a software, a domain name or a franchise.
A trademark which is registered and extended in many countries increases the value of the owner company and can be a source of income. It enhances the credibility of the company towards its business and financial partners. With a trademark, it is also possible to create a franchise network.
A trademark is a factor of differentiation for your company regardless of its field of activity.
Why is it necessary to register its trademark?
Not protecting its trademark is a mistake!
A non-registered trademark can be used by a competitor who may file for it first, exploit it, and prevent any other third party from using it, even its creator. Moreover, a brand that is not registered is of no commercial or economical value. It could not be made profitable through a sale or a licensing agreement.
A license or a branded franchise makes it possible to carry out a financial valuation.
Finally, contrary to common beliefs, the cost for registering a trademark with the help from an industrial property attorney is modest, even for start-ups. Especially when it is compared to the costs that the recovery of an unregistered trademark would entail (when the move is feasible).
Why should you evaluate your trademark?
Several reasons can lead you to undertake a financial valuation of a trademark:
- To prepare a transaction (sale, acquisition, joint-venture, etc.);
- To start generating income through license or franchise agreements;
- To assess the amount of damages in case of non-authorized use of the trademark by a third party;
- To increase the value of the company;
- To make it contribute to the capital of a company in order to increase its equity.
The evaluation criteria of a trademark
In order to estimate the value of a trademark, Brandon Valorisation analyzes the following points:
- The legal aspects (seniority, protection, etc.), in partnership with Brandon IP;
- Its domestic and international market;
- Economic and financial data related to its operation;
- Its environment, reputation, impact, communication;
- The competition, etc.
These data are taken into account and processed using our proprietary methods ValoFlash or ValoFin and enable us to give the value of your intellectual property rights.
At the end of the mission, a report including our conclusions, with figures and recommendations, is presented to the company’s manager during a dedicated meeting. This study can then be used in future negotiations and supported by our firm.
Support
Our financial valuation studies of intangible assets include the participation of our consultants to the presentation of the report to a contribution auditor.
For these valuation studies, our firm uses a method widely recognized by the various actors in the field of business and innovation. We are also proud to have a 100% success rate on these services. Indeed, to this day, none of the studies conducted by Brandon Valorisation has been rejected by the auditors, who are in most cases appointed by our clients, in France and in Europe.
Some studies conducted by our teams have reached values of several tens of million Euros.
Brandon Valorisation has developed a financial valuation method for intellectual property rights which is adaptable to your specific needs. For more information, please consult our dedicated pages:
- Financial valuation study
- Patent valuation
- Software valuation
- Company valuation
- Domain name valuation
- Website valuation
- Know-how financial valuation
- Valo’up
- Valuation diagnosis, “Valo’Diag”
N.B. If necessary, prior to launching a financial valuation study, we suggest you to perform a diagnosis adapted to the subject of the study: this is Valo’Diag.
The Brandon Group has a unique offer that combines industrial property and economic and financial valuation of intangible assets, in France and abroad.
Do you want to find out more?