Business Tips: The importance of Goodwill in your business

Report this article Xcelerate Hub Limited Xcelerate Hub Limited Insight Beyond Numbers.Growth = Talent + Insights + Strategy = Value Creationhttps://calendly.com/cfocoach Published Dec 19, 2022 + Follow Business Tips: The importance of Goodwill in your business Goodwill in accounting refers to the intangible value that a company can hold, above and beyond the pure financial value of its assets. This covers areas like Brand Reputation, Intellectual Property, Patents, and both external and internal relationships. A business that can show its goodwill in the marketplace is actually worth more – both intangibly and financially. When a company is up for an exit or sale, the price a buyer is willing to pay (WTP) will be greatly increased if the seller is willing to sell (WTS) can demonstrate this quality of goodwill (Value). What do we mean by goodwill? Goodwill includes the value of your business’s brand, your loyal customers, proprietary technology, reputation for great customer service an...