Intellectual Capital

Intellectual capital is considered an asset, and can broadly be defined as the collection of all informational resources a company has at its disposal that can be used to drive profits, gain new customers, create new products or otherwise improve the business. It is the sum of employee expertise, organizational processes, and other intangibles that contribute to a company's bottom line.

Intellectual capital is a business asset, although measuring it is a very subjective task. This asset to a firm is not booked on the balance sheet as "intellectual capital"; instead, to the extent possible, it is integrated into intellectual property (as part of intangibles and goodwill on the balance sheet), which in itself is difficult to measure.

Sources:

⠀ Chen J. Intelectual capital [Електронний ресурс] / James Chen // Investopedia. – 2019. – Режим доступу до ресурсу: https://www.investopedia.com/terms/i/intellectual_capital.asp#:~:text=Intellectual%20capital%20refers%20to%20the,knowledge%20contained%20wit