Expert: John Varghese - 11/2/2010

Question
My father is planning to separate from his business
partners. At the moment we would like to know (if this is
within your expertise) how can we determine the value of the
brand?
What indicators or what should we have into consideration to
make an estimate of what the value of the brand is.
That's all

Answer
Dear Camila,

The exact assessment of brand value is done by an auditor and not a lawyer and hence you are requested to contact your auditor for value of brand. However when looking for the value of the brand, you need to look into the notional market value if the brand is sold in the market today and for this the following parameters are to be taken into consideration: 1. Will you get any value if the brand is sold?
2. Do you have a large number of customers who value your brand?
3. Do you have a large number of brand followers?
4. What is the value of the brand in the eyes of public or an independent third person on the basis of the above parameters?

Regards

John Varghese