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Corporate & Other Laws
How come charge be created on intangible asset
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Christeena AmbelSo sir, if they make default in payment or if ths company goes into liquidation, What will the charge holder get? How the liquidator is going to sell intangible assets? Does intangible asset have any value without the company?
They can auction brand names / trademarks for use by others. Yes intangible assets do have value independent without company. It's goodwill that doesn't have distinct value but other like trademarks, licences etc. carry value
Sahibdeep Singh
Same way like tangible assets. Brands/trademark/licenses etc. can be given as security by entrepreneours and take loans from financial institutions. Say brand 'Reliance' being used as security for loan.
So sir, if they make default in payment or if ths company goes into liquidation, What will the charge holder get? How the liquidator is going to sell intangible assets? Does intangible asset have any value without the company?