Sneak preview of updated data on identifiable intangibles
Get an advance look at the new edition of a guide that analyzes data on the useful lives of intangible assets culled from over 15,000 purchase price allocations.
Benchmarking Identifiable Intangibles and Their Useful Lives in Business Combinations, Third Edition
August 2021 PDF, Softcover
BVR (editor)
Business Valuation Resources, LLC
Goodwill impairments fell 10% in 2019: D&P study
Total goodwill impairment declined to $71 billion in 2019, down 10% from $78.9 billion in 2018, according to the “2020 U.S. Goodwill Impairment Study” by Duff & Phelps.
FASB OKs goodwill triggering standard update for private firms
The Financial Accounting Standards Board has decided to give private companies and not for profits the option to assess at a later point a situation that might trigger a goodwill impairment.
Global intangible asset value rebounds to hit all-time high
Business valuers recognise that intangibles present individual ‘facts and circumstances’ challenges. And IFRS 3, even without the proposed amortisation changes, does not fully report the current value of acquired or created intangibles (increasing the operational value of intangibles is generally a strategic goal).
The value of internally generated intangibles depends on where they were created
‘Against a backdrop of the growing importance of intangibles, for regulators and legislators there is clearly scope for improving comparability between European company accounts by increasing the harmonization of the treatment of intangibles by SMEs,’ a new survey issued by the European Federation of Accountants and Auditors for SMEs reveals.
Saudi businesses continue the transition to intangibles, say Deloitte
A new report from Deloitte Middle East and Saudi Authority for Accredited Valuers TAQEEM, ‘The Future of Intangible Assets in the Kingdom of Saudi Arabia,’ presents a comparative analysis with Tadawul, the Saudi Arabian stock index, to establish that ‘the Saudi Arabian economy is at the start of a similar transition’ as those experiences in UK and North American markets.
CFAI issues strong comments regarding goodwill amortization proposal
The CFA Institute (CFAI) recently submitted its lengthy comment letter (41 pages) on the FASB’s Invitation to Comment (ITC) on how to account for certain identifiable intangible assets acquired in a business combination.
Analysts, management, and investors all benefit from better information on intangibles
The UK’s FRC is not alone in its expectations for improved reporting on intangible assets, though their discussion paper from February 2019 (‘Business Reporting of Intangibles: Realistic Proposals’) remains front and center as valuation organisations (and IASB/FASB) review current methods.
Paper examines goodwill impairment as a leading indicator
As accounting rule makers ponder the idea of upending the current goodwill impairment model and reverting back to one of amortization, a series of papers is exploring this topic.
AICPA issues practice aid on digital assets
Ten questions are asked and answered in a new AICPA practice aid, Accounting For and Auditing of Digital Assets, under U.S. GAAP and GAAS (auditing standards ...
Global intangibles lost 8% in value this year
Business valuers recognise that intangibles present individual ‘facts and circumstances’ challenges.
Goodwill impairments up a whopping 125% in 2018: D&P study
Total goodwill impairment soared to $78.9 billion in 2018, up 125% over the prior year, according to the “2019 U.S. Goodwill Impairment Study” by Duff & Phelps.
Valuers stress concerns about goodwill impairment vs. amortization
The last issue of BVWire covered the morning session of the full-day roundtable discussion at FASB headquarters on the standard-setter’s Invitation to Comment (ITC) on moving from the current impairment model for goodwill to one of amortization or a hybrid approach.
Intangibles often require their own discount rates to derive WACC, Shaw and Higgs report
Since there are very few comparable statistics, analysts often need to assemble their own matrix of required asset return rates for enterprises with intangibles, Steve Shaw (Financial Seminars) told attendees at last month’s ICAEW Valuation Community Annual Conference in London.
FASB absorbs feedback on goodwill impairment vs. amortization
A mix of stakeholders participated in a full-day roundtable discussion at FASB headquarters in Norwalk, Conn., on November 15.
BVWire will attend November 15 FASB roundtable on goodwill amortization vs. impairment
The FASB will conduct a public roundtable discussion on November 15 in Norwalk, Conn., on its Invitation to Comment (ITC) on moving from the current impairment model for goodwill to amortization.
Diverse feedback to FASB regarding goodwill amortization vs. impairment
The FASB received almost 100 comment letters on its Invitation to Comment (ITC) on how to account for certain identifiable intangible assets acquired in a business combination.
Valuation trends and issues in the information/media sector
Separately identifiable intangibles are making up a bigger portion of the purchase price allocations for the big deals in the media sector, though practices vary widely, reports Grant Thornton in their new ‘What’s Been Happening in Media M&A’ white paper.
Deadline looms to share your views on goodwill amortization vs. impairment
Comments are due soon—October 7—on the FASB’s Invitation to Comment (ITC) on how to account for certain identifiable intangible assets acquired in a business combination.
Goodwill should not be a ‘wasting asset’
Goodwill has resurfaced as a valuation topic globally this year, so much so that the IVSC’s first article on the subject, ‘Is Goodwill a Wasting Asset?’ has been downloaded thousands of times already.
iiBV intangible assets 212 course gets kudos
Several BVWire—UK readers have commented that they’ve used the new iiBV 212 Valuing Intangible Assets online course to help staff get up to speed on the key business valuation concepts.
PwC explains FASB proposal to upend goodwill model
Should annual goodwill impairment tests be done away with for public companies?
Free download: What increases the asset value of a customer?
Valuing customer relations requires quantitative and qualitative judgments.
FASB revisits goodwill impairment testing
The issue of annual impairment testing versus amortization of goodwill is being revisited with the Financial Accounting Standards Board (FASB) issuance of an Invitation to Comment (ITC) on how to account for certain identifiable intangible assets acquired in a business combination.