Abstract:

In accordance with Polish balance sheet law, acquisition of trademarks should be based on reliable valuation. Of the many available methods for the valuation of this type of assets, the most important approaches include marketing, income, cost, and market valuation. The marketing method involves valuation of relations between customers and trademarks; this approach requires extensive research and is therefore burdened with low confidence margin. The income approach is construed on the basis of income increase generated by the application of an acquired trademark. The cost method represents the value of acquisition in terms of the volume of outlays (costs) expected in creation of a comparable trademark; similarly to the marketing approach, the method produces low precision estimates. Lastly, the market method establishes a trademark value in reference to a comparable real market transaction.