What’s your brand worth, and who decides? It’s a question recently tackled by Duets Blog’s Steve Baird. “At rock bottom, a brand’s value is at least what another–in an arm’s length transaction–is willing to pay for it,” he explains. The “at least” is because if there is no willing buyer, the brand is worth more to the owner than its lowest price at that moment, he adds.
But valuating the actual price tag is where it gets really difficult. “No doubt, accountants play an important role in deciding, but they cannot and should not do so in a vacuum without collaboration from other relevant disciplines,” says Baird. It’s also important to consider the trademark in relation to the brand’s value, as well as marketing efforts.
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