VALUE MEASUREMENT
WHAT WE DO
We assist our Clients in the economic valuation of companies, tangible assets and intangible assets, in particular intellectual property assets (trademarks, patents, design models, software, know-how, copyrights, trade secrets). Our valuations comply with the best practices recommended by the Italian Valuation Standards, national and international accounting standards.
Our valuation reports can be finalised for use in all areas where it is necessary to know the economic value of an asset: whether inside the company, outside the company or in the case of litigation: "Knowing what an asset is worth and what determines that value is a prerequisite for intelligent decision-making - when choosing investments for a portfolio, deciding how much is appropriate to pay or receive in an acquisition, and when choosing investments, financing and dividends when running a business" (Aswath Damodaran).
OUR EXPERIENCE
Measuring economic value is a complex task, requiring an understanding of how value has been created, is being created and how it will continue to be generated in the future. Valuations are often described "as both an art and a science". Valuation methodologies must indeed be based on scientific and analytical aspects, but applied effectively based on professional judgement, which is given by the knowledge, experience, and sensitivity of the valuator.
Our extensive experience is crucial in producing an effective evaluation for our clients. Some examples of our valuations are as follows:
- we estimated the economic value of one of Italy's leading family-owned food groups in order to define precise development prospects for the Group, such as a stock market listing;
- we estimated the economic value of a food retail chain in shopping centres;
- we evaluated a high-end furniture company with a view to a sale of shares;
- we have estimated the value of brands in the fashion sector, the pharmaceutical sector (for patent box purposes), the sports sector, the events sector, and the household goods sector;
- we have assessed the value of patents (also in coordination with industrial property consultants) in the software, air conditioning, food, industrial and logistics sectors.
WHAT IS ECONOMIC VALUATION?
According to the Italian Principles of Valuation, the assessment of the economic value of any asset or complex of assets "is a reasoned and motivated judgement based on estimates, it is never the result of a mere mathematical calculation". Moreover, "the valuation judgement must be formulated objectively and must not overstate or understate the result of the valuation". Moreover, "evaluation requires the professional exercise of judgement. In order for such a judgement to be soundly based, it is indispensable that the expert has adequate technical skills, good professional experience and the necessary knowledge of the subject matter and purpose of the valuation and is in a position to express a reliable judgement. The opinion of value arrived at by the expert must be: (a) rational; (b) verifiable; (c) consistent; (d) reliable; (e) carried out in a professional manner; and (f) carried out competently".