Trademark Valuation Services

Valuation of Trademark | EXCELON IP – Trademark Valuation Law Firm 

It is very important for a business entity to realize the true worth of their intellectual property assets. A trade name acquires a brand value after continuous and concurrent use. Understanding the value of an IP asset helps to maximize its commercialization. Trademark Valuation experts at EXCELON IP, help with Trademark Valuation Services.

What is Trademark Valuation?

A registered trademark is a very potent asset for any organisation as it can be easily marketed, sold, franchised or the trademark owner may choose to earn royalties through that. The value of the trademark lies in the quality of the product it serves as in, if you produce a high-quality product, you want people to recognize your product through a particular design, logo, colour or symbol, letters or any combination of these which is capable of creating a distinction between your product and the others existing in the market. Trademark is definitely important as it serves your goodwill and your products goodwill and repute significantly at a greater level. It is very important for an organisation to evaluate its trademark value from time to time as it also helps in convincing potential financiers to invest in the development of a brand. For a brand which is very new and has created a reputation in a short period of time then the value of such brand can be evaluated by an expert in the field based on experience and understanding the potential of such brand.

How to calculate the value of a Trademark?

Many factors are taken together to understand and estimate the value of the brand in the industry as well as forecasting the future potential of the trade name. Such factors include future opportunities for such products and the risk of competition involved in the long run in the market. There are many methods of evaluating the true worth of a trademark. Some of the common methods are the income approach which takes the profits (past and future) into consideration while finding the value of a mark. Another method is the market approach, which uses comparative transaction and consumer behaviours, also the cost approach which attempts to take the cost of creating a trademark into consideration and the royalty approach which estimates the royalties saved, created by the trademark proprietorship. While using the royalty approach, to find the valuation of your trademark, you will need to presume the discount & royalty rates and the base revenue into consideration.

Steps to perform Trademark Valuation

This method of finding valuation can be approached through the following steps:

  • Determination of the use of the trademark in the near future.
  • Determination of the futuristic profits and the amount of time it will be required to achieve that.
  • Determination of the current royalty figures in the market in the same stream in the industry.
  • Making a presumption based on facts about the discount rate, which indicates the savings of your organisation by avoiding the payments of royalty on the trademark it owns. Finding out the position of the brand in the market currently and it’s overall strength in the industry.

Trademark Valuation Process

Using the income approach you can make an estimation of future profits which are to be extracted from such mark and balance them with the present values. Using the market approach you can use different measures of value which includes transaction price, and other available options to consumers of such product in the market currently. Also, you have to consider the individual or independent characteristics of the brand to determine its value, say, for instance, the worth of the mark will be based on the cost incurred in the creation of the asset and the marketing and promotions. This is an ideal method of finding the true value of your registered mark if you have created your brand recently.

Trademark Valuation Experts  | EXCELON IP – Trademark Valuation Company

Even if you can find the valuation of your own trademark, it is still highly advisable to consult an IP Professional in the matter. We are a team of veterans at Excelon IP, experts in the field of intellectual property rights who can help you know about the potential of your registered mark. Our team can help you with knowledge about the true valuation of your trademark and can help you make an informed decision with regard to your intellectual assets.