levitra"> levitra"> Q. What is intellectual property?

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Jeffrey D. Jones

Ask the Expert: Business Valuator

Jeffrey D. Jones, ASA, CBA, FCBI

Please send your questions to Jeffrey Jones Because of the large volume of mail and the sensitivity or specific nature of some issues, it is impossible to post answers to all of your questions in this column. As time permits, and if you so indicate, I will try to send a few personalized responses. DivorceInteractive.com has a strict Privacy Policy and will not post your name or contact information or share such information with any other person or entity without your permission.

Q: What is intellectual property?

A: Intellectual properties are intangible assets that, for valuation purposes, must have the following characteristics:

a. Have a legal existence

b. Have economic substance

c. Can be legally transferred

d. Have a practical business reason

e. Are actually used, or used up, in normal business operations

f. Can be associated with a determinable royalty rate or other transfer pricing

Examples of intellectual properties include trademarks, trade names, books, recordings, and computer software.

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