A Bird’s-Eye View of Major Intangible Asset Benchmarks
This is an analysis of over 30,000 intangible assets and the types most prevalent in acquisitions, including asset values, royalty rates/profit margins, and useful lives.
BV News and Trends May 2022
A monthly roundup of key developments of interest to business valuation experts.
Twitter’s brand value soared prior to Musk’s bid
The brand value of Twitter increased by 85% to US$5.7 billion this year, even before the takeover attempt by Elon Musk, according to an analysis by Brand Finance.
BV News and Trends April 2022
A monthly roundup of key developments of interest to business valuation experts.
Trademark values and useful lives for bikes
The average royalty rate for the trademarks of bikes is 3.8%, according to data from MARKABLES.
‘Key players’ in valuing IP per QYResearch
QYResearch has published a research report on the global market for valuation services for intangible assets.
Apple is still the most valuable brand, per Brand Finance study
Apple has retained the No. 1 spot on the list of the world’s most valuable brands, according to the “Brand Finance Global 500 Report 2022.”
Global BV News and Trends January 2021
Business valuation news from a global perspective.
BV News and Trends November 2021
A monthly roundup of key developments of interest to business valuation experts.
Article examines brand values, ratios, and multiples
There has been a dramatic shift in the importance of brands in M&A transactions, with the value of customer relations overtaking the brand-value-to-enterprise-value ratio, reveals a new article.
Free model adjusts ROI distortion from missing intangibles
Intangible assets that are “missing” from corporate balance sheets (see prior coverage) distort performance metrics and generally overstates return on capital.
BV News and Trends September 2021
A monthly roundup of key developments of interest to business valuation experts.
New push to explore realignment of intangible asset disclosures
Long overdue is a re-examination of the reporting and disclosure framework for intangible assets (IA).
Paper examines vanishing $10 billion of Sprint’s brand value
Prior to being acquired by T-Mobile in April 2020, Sprint had a brand with a value of $8 billion to $12 billion, according to all the major rankings of the most valuable brands.
Pro golfer values analyzed in Duff & Phelps/Kroll study
Everyone who plays golf knows how confounding the game is.
BV News and Trends May 2021
A monthly roundup of key developments of interest to business valuation experts.
Global BVU News and Trends April 2021
Business valuation news from a global perspective.
BVU News and Trends March 2021
A monthly roundup of key developments of interest to business valuation experts.
Data breaches threaten brand values, says study
A recent study from Infosys and Interbrand analyzes the maximum risk of brand value loss in case of data breaches.
Global BVU News and Trends February 2021
Business valuation news from a global perspective.
Global BV News: Kohli scores again with top celebrity brand value in India
Virat Kohli, captain of the India national cricket team, has topped the powerful celebrity brand list of Duff & Phelps for the fourth year in a row, according to its Celebrity Brand Valuation Study 2020: “Embracing the New Normal.”
Fiat Chrysler brand portfolio valued using 1% royalty rate
The portfolio of Fiat Chrysler brands is worth EUR 10.4 billion based on a preliminary valuation using an 1% average royalty rate, according to a white paper from MARKABLES.
Global BVU News and Trends January 2021
Business valuation news from a global perspective.
Coca-Cola Co. v. Comm'r
Coca-Cola had been applying a transfer pricing method called the 10-50-50 since it entered into a closing agreement with the IRS in 198, covering the years 1987 to 1995. Coca-Cola had consistently followed that transfer pricing method; the IRS had audited Coca-Cola annually and “signed off” on that transfer pricing method for over a decade. Upon examination of Coca-Cola’s tax returns for 2007 to 2009, the IRS determined that Coca-Cola’s transfer pricing methodology did not reflect arm’s-length norms because it overcompensated the supply point and undercompensated Coca-Cola. The IRS reallocated income between Coca-Cola and its supply points employing the comparable profits method (CPM) pursuant to Reg. Sec. 1.482-5. The IRS increased Coca-Cola’s taxable income by over $9 billion assessing over $3 billion in additional taxes!
2020’s Most Important Transfer Pricing Case—Coca-Cola
Coca-Cola had been applying a transfer pricing method called the 10-50-50 since it entered into a closing agreement with the IRS in 1986, covering the years 1987 to 1995. Coca-Cola had consistently followed that transfer pricing method; the IRS had audited Coca-Cola annually and “signed off” on that transfer pricing method for over a decade. Upon examination of Coca-Cola’s tax returns for 2007 to 2009, the IRS determined that Coca-Cola’s transfer pricing methodology did not reflect arm’s-length norms because it overcompensated the supply point and undercompensated Coca-Cola. The IRS reallocated income between Coca-Cola and its supply points employing the comparable profits method (CPM) pursuant to Reg. Sec. 1.482-5. The IRS increased Coca-Cola’s taxable income by over $9 billion assessing over $3 billion in additional taxes!