Goodwill – “the established reputation of a business regarded as a quantifiable asset, e.g., as represented by the excess of the price paid at a takeover for a company over its fair market value.”
Goodwill is sometimes considered an asset….yet it’s an intangible asset that is difficult to value.
Goodwill for our business was how we were perceived in the marketplace. It meant excellent customer service, competitive position, and presence in the community.
For the most part our Goodwill was high. However, as valued as Goodwill is….businesses/organizations need be aware that it can easily evaporate. Like any other asset, Goodwill needs to be continually maintained.