Aspects relevant to the valuation of start-ups, with a focus on intangible assets

Intangible assets are becoming increasingly important in the age of digitisation. Accordingly, intellectual property rights can provide decisive competitive advantages. To ensure that these assets classified as intangible assets are also visible to investors, it is important that they are also reflected in the balance sheet. However, not only debt financing, but also accounting-related valuations and the determination of the value in dispute are reasons for the valuation of patents. The value drivers here are primarily the strategy, function and exploitation of the property right. Various valuation methods have been established for the valuation of intangible assets. Annual financial statements can be prepared in accordance with national or international standards (IFRS), whereby the national legal requirements have mostly been adapted to the accounting rules of IFRS. For example, intangible assets can be capitalized not only if they were purchased, but also, under certain circumstances, if they were created in-house.