Intellectual property (IP) refers to intangible assets that result from intellectual activity in the industrial, scientific, literary, or artistic fields. These include patents, trademarks, copyrights, trade secrets, designs, and other intangible assets that have commercial value. The valuation of intellectual property is a specialized process that involves determining the monetary value of these intangible assets, considering their potential to generate revenue, their market position, and the associated risks.
Intellectual property valuation is crucial in a variety of contexts, such as mergers and acquisitions (M&A), licensing, tax planning, litigation, financial reporting, and investment decisions.