Goodwill valuations
TECNITASA / Assessment / Intangible assets / Goodwill
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Goodwill valuation has become an essential tool for companies, entrepreneurs and investors who wish to know the true economic potential of a business. This type of analysis is fundamental in the processes of sale and purchase, mergers, corporate restructurings or tax planning. It also allows us to detect opportunities for improvement and to evaluate the stability and projection of the business in the medium and long term.
In Tecnitasa Group, we have a team specialized in intangible valuations that combines technical expertise, market knowledge and a strategic approach. Our objective is to offer accurate valuations adjusted to the real conditions of the sector.
What is goodwill valuation?
The valuation of goodwill consists of estimating the economic value of the intangible assets that give life to a business. Unlike tangible assets, such as machinery or real estate, goodwill includes factors such as regular customers, loyalty, commercial reputation, location, brand prestige and current contracts. It is the value associated with what is not seen, but which has a decisive influence on the profitability and viability of the business. This value usually arises in acquisition or transfer contexts, when the price paid exceeds the book value of the tangible assets. Its estimation requires a technical methodology that combines financial, commercial and industry information.
> Key factors influencing the valuation of goodwill
Several elements are involved in calculating the value of goodwill. These factors vary according to the economic activity, the size of the business or its position in the market.
Location and visibility of the business
Geographical location is one of the most important aspects. A store on a main street or in an area with high pedestrian traffic can have a much higher value than another with less visibility. This variable directly affects the flow of customers and, therefore, potential revenue.
Reputation and brand recognition
The public’s perception of a business has a decisive influence on its value. A brand that is well positioned in the consumer’s mind, with positive opinions in digital media and social networks, provides a differential value that is reflected in the valuation.
Profitability and revenue volume
Economic performance is essential in any value analysis. The higher the sustained profit over time and the more stable the revenue stream, the higher the value assigned to goodwill. It is common to use multiples on EBITDA or sector ratios for these calculations.
Customer portfolio
Having a loyal customer base or medium- and long-term commercial agreements reinforces the future stability of the business. This not only ensures recurring revenues, but also a stronger competitive position.
Status of assets
Although goodwill focuses on intangibles, the condition of tangible assets such as furniture, machinery, technology or facilities also influences the final valuation. Their correct integration makes it possible to determine whether the business can operate efficiently.
> Why is it important to value goodwill?
An official valuation allows decisions to be made with greater certainty and support. Knowing the real value of intangible assets can provide a competitive advantage in various business scenarios.
Determine its real value
A precise knowledge of a company’s intangible assets is key to assessing its profitability and market positioning.
Facilitate the sale and purchase or negotiation
Both buyers and sellers require an objective and documented valuation to set a fair price. This report reduces the risk of disagreement and provides a technical basis during negotiations.
Obtain financing and bank backing
In certain circumstances, banks consider goodwill as part of the guarantee for granting credit. A technical valuation, carried out by an expert valuation company such as those of the Tecnitasa Group, can facilitate access to lines of financing.
Tax and accounting optimization
From an accounting point of view, it is possible to reflect goodwill in the balance sheet, provided that certain requirements are met. This allows for more efficient tax planning and better control of corporate assets.
Protection in litigation
In legal or arbitration proceedings, having an independent and detailed valuation of goodwill can make all the difference as it provides a solid basis for defending the company’s interests.
Benefits of hiring a professional goodwill valuation service
Having specialists in intangible asset valuation offers multiple advantages. They not only guarantee the quality of the report, but also its validity before public agencies, financial institutions or private investors:
Experience in business and intangible asset valuation
Industry professionals apply methodologies adapted to each specific case. This experience translates into more accurate analyses that are aligned with market realities.
Accurate technical reports
Valuations issued by expert companies such as those of the Tecnitasa Group comply with the standards required by current regulations. This ensures their acceptance in legal proceedings, administrative procedures or corporate negotiations.
Up-to-date and competitive valuations
The market is constantly evolving. For this reason, it is essential to have reports adjusted to current conditions, reflecting both the internal situation of the business and the general economic context and sector trends.
Discover other appraisal and/or valuation services
In addition to goodwill, Tecnitasa Group offers appraisals and valuations of all types of assets. Its specialist team
applies specific criteria for each type of asset, adapting to the particular needs of clients.
Latest news on valuations
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Tecnitasa Group has been offering valuation services to companies of all sectors for more than 40 years. Our reports meet the most demanding requirements and are recognized by all financial institutions, official bodies and courts.
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