Intangible assets are non-physical assets that play a role in your company’s success, even if they are not physical in nature. These assets have an instrumental role in the long term growth of a company and include such items as: brand recognition, licensing arrangements, copyrights and patents, computer software development, trade secrets, legal rights, etc. Oftentimes intangible assets play into your company’s long-term growth. Intangible assets can be broken down into two categories: those with indefinite useful lives, and limited-life intangible assets. These that are not intended to be turned into cash or be consumed within the next 12 months or operating cycle.
