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The Hidden Value of Trademarks

Tim Zarley \ April 25, 2019

Every day we are confronted with numerous trademarks like Apple, McDonald’s, Ford and the like.  For each of these marks we have certain expectations about the products and services offered. As a result, the marks serve as an information shortcut that companies will go to great lengths to develop and protect.

Part of the reason is that a trademark can represent a significant part of a company’s overall worth.  For some, a trademark is the single largest source of intangible value a company has. Google’s trademark, recognized as the most valuable by Brand Finance, is worth an estimated $44 billion, or 27% of the corporation’s overall value.  Microsoft, the number one software company in the world, runs a close second with a trademark value of $42.8 billion. In third, Walmart, the world’s largest retailer with over 2 million employees and 9,000 stores, has a trademark value of $36.2 billion.

Many companies fail to recognize the true value of their trademarks.  While it is easy to find value in tangible assets such as buildings, land, and equipment, business owners often overlook and/or under estimate the value of their trademarks.  Because a trademark is such a valuable asset, the selection, protection, use, and enforcement of your company’s trademark is very important and shouldn’t be left to chance. Working with an experienced trademark attorney can help guide you in the right direction toward increasing your company’s value.

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