Brand Valuation
Preparation of independent, professional Brand Evaluation based on international standards, calculation and derivation of brand value. M&A World uses the widely known and accepted income-based (discounted cash flow) valuation method to value the brand. The income-based methodology is one of the most widely used and recognized methods of traditional brand valuation.
Combining the historical performance of the company with industry-specific and macroeconomic trends, an industry- and country-specific company with average profitability and future prospects is modelled, which is comparable to the company. Then, the notional (industry average) and the firm value of the company under investigation are determined separately. The difference between the two company values is the brand value itself, which shows how much more valuable a given firm is than an average firm in the industry, and how much the brand value contributes to the value of the company under review..
The result of the brand valuation supports the capitalization of the value of the brand in intangible assets, thereby increasing, through the asset valuation, both the total enterprise value and the equity value of the business.