COMPANY VALUATIONS

Company Valuations

[Name of the Author]

[Name of Instituition]

Introduction

Banking regulation is an important form of government regulation that banks subject to certain requirements, restrictions and guidelines. The regulations are important to maintain strength and integrity of financial systems. The combination of the instability of banks as well as their important role to guide the economy led the bank to be well regulated. Another reason why banks are subject to regulation is that ultimately, no government can allow the banking system to fail.

The evolution of the banking sector can be traced to the economy of ancient Rome, Greek and Indian. In the West, the founding of the bank can be attributed to the trading centers in Europe, including Hamburg, London and Amsterdam. modern banking has changed in the late 20th century when the Industrial Revolution led to a fundamental change in the definition of banks. Lending money is to be replaced by equipment financing and business credit.

Mergers and acquisitions

Says the critical value of IPR within the period of the business, mergers and acquisition transactions are now based on analysis of the IP assets of businesses that provide important data necessary party to manage a successful transaction. A comprehensive report of IP business concern is a common practice in M & A transactions.

Cost approach IP valuation allows companies to save costs by providing for an optimal allocation of IPR within the company. The balance of IPR costs and benefits of allowing companies to successfully manage the most suitable IP strategy, avoiding the maintenance of property that does not make, or that is not expected to result in more benefits than costs.

IPR Marketing

Telling the possibility to freely sell IPR owned company, IP valuation can provide the right information needed for a successful exploitation of intangible assets. The sale or purchase of IPR may thus represent an important resource for companies to get financial support or to allow additional research activities.

Alliances Nowadays globalization implies the need to enter into strategic alliances, such as joint ventures, to stay and to play a role in the market. In that respect, IPR valuation firms may guide when evaluating the potential of their partners and can help strategic partners to fairly determine a successful alliance as well as their shares once established alliance.

Loans Another important reason for IP valuation is the possibility to provide a bank loan, banks in some countries accept IP assets as collateral. Securitisation and collateralisation is the relevant financial instrument aimed to improve the liquidity of companies that possess IP assets.

Litigation IP valuation provide the necessary components and courts take into account the moment of quantifying the damage caused by a violation of IP.

IP cup for shareholders and stakeholders

Another important issue concerns involving the IP cup of providing relevant data on the firm's shareholders and stakeholders. It is a common practice within the company, in particular innovation-intensive firms, to publish an intellectual capital report (ICR) to provide interested parties with an insight into financial and non-financial perspective of the enterprise ...