I have trademarked a logo I designed and used as a sole trader and I am now considering licensing its use to my limited company. Can anyone help in guiding me on how to value this for:
(a) licensing on an annual basis and
(b) outright sale
Are there any merits to either method and are there any other aspects to this matter I need to consider?
Related resources
Replies (13)
Please login or register to join the discussion.
I think what Tim is suggesting is that, in the absence of information, why not £8,060 (it is almost the correct answer for many questions of late, though £8,112 is a better answer).
You are talking about valuing a brand. Does the brand have any worth in the first place?
Presumably the presence of the logo in the ltd company will be providing a financial benefit to you as the shareholder by enabling a seamless transfer of the sole trader going concern. In that case instead of charging, draw the dividends from the profits that will have contributed to instead.
Since £8,060 has already been taken and 42 is meaningless, I am going to go with:
https://freeenglishmaterialsforyou.files.wordpress.com/2015/04/[***]-all...
You may also want to consider that, if you license the logo to your limited company for a fee, whilst that fee would be deductible by the company, you will be creating personal income. Best case scenario is that it's tax neutral (though there could be an NI charge depending on the amount). As the CT rate reduces (or if you are anything other than basic rate) you will pay more personally than the company will save.
Thanks for response, I understand that generating income would not be advantageous as as an outright sale. This would allow me to use my CGT allowance.
Encouraging to know that people are so successful they have the time to post ridiculous, meaningless responses on here.
Are you an accountant? This is a forum for accountants, not for free advice on a question that any self-respecting accountant wouldn't consider proposing, never mind asking. Within the replies you have already had is your answer.
![https://freeenglishmaterialsforyou.files.wordpress.com/2015/04/[***]-all...](https://freeenglishmaterialsforyou.files.wordpress.com/2015/04/[***]-all-british-idiom-free-english-mate-rials-for-you.jpg?w=760){kind=link}