From financial assets to intellectual capital assets evaluation

Abstract

Traditionally, business valuation is the starting point for buyers and sellers. Valuing a company is not a precise science and can vary depending on the type of business and the purpose of the valuation. In general, the value will rely on an analysis of the company's cash flow and does not include the value of the work force, their knowledge, the way they use computer systems and so on. In a knowledge-based economy, such intangible assets may be a source of significant competitive advantage.