What is a business asset?

A business asset is an item of value used to generate revenue or create more value for a company. From physical property and equipment to intangible assets like intellectual property and goodwill businesses depend on a variety of assets to function. As expected, not all business assets are created equal.

What is a business without assets?

Assets are literally the lifeblood of a company. Even some would say that a business without assets is not a business but rather a hobby. Businesses are created to make a profit and provide a return on investment for the owners, shareholders, or investors.

How is the value of business assets determined?

The value of business assets can be determined by an appraiser. Business assets are itemized and valued on the balance sheet, which can be found in the company's annual report. They are listed at historical cost, rather than market value, and appear on the balance sheet as items of ownership.

What are examples of tangible business assets?

Here are some examples of tangible business assets: Intangible assets are non-physical financial resources that can increase a company’s revenue. Identifying the value of an intangible asset can be more complicated and might involve estimating the amount of business that an intangible asset can bring to the company.