Valuation of Technology - Theory and Practice Approaches

Abstract

There are various methods of valuation of technology and intellectual property. Some of these methods routinely used in practice, at the same time as the other methods are not suitable for a business reality. In this paper, I analyzed the actual methods of valuation techniques used for M&A and tried to systemize these approaches. As it turned out, many theoretical approaches cannot be applied in practice. On the other hand, the rules of the market remain true. By studying the cases of theoretical valuation methods in practice, we can find the most acceptable methods of technology and IP assessment.