Our new era, based on knowledge and information, disrupts the way we assess or price a company. Once upon a time, the balance sheet used to be sufficient to give a faithful overview of a company’s assets, however, it no longer allows to address entirely the value creating assets.

"The wealth of intangibles is the key for tomorrow’s growth"

APIE

These intangible assets are responsible for two thirds of western companies profitability. Yet, few organizations are aware of the important assets brought by their intangibles. Brand is often the best-perceived intangible asset, mainly since it can be priced during an acquisition due to the IFRS norms. The same applies for patents, which provide an obvious strategic advantage. But what about the other intangibles? Technology is a source of innovation, shareholders bring stability to the company and human capital strengthens cohesion and identity. Just by considering part of these intangible assets, one can see how much they impact value creation processes. Increasing the value of an organization by identifying and measuring its intangible assets allows the organization to become aware of its strength and weaknesses. Controlling these assets is a proactive step, which ensures efficient and durable management of the company.

The Observatory of Intangibles and the APIE, which were established in 2005 and 2007 respectively, are evidence the importance of additional financial information. The latter completes the solely capitalistic point of view conveyed by accountancy. This innovating and holistic approach minimizes the assessment approximations. Embracing all the intangible assets allows considering the value of the company as a whole.