Korea Technology Finance Corporation

Technology Appraisal

Types of Technology Appraisal Service

Types of Technology Appraisal Service


There are three types of technology appraisal in KOTEC: Technology Valuation, Technology Project Viability Assessment and Comprehensive Technology Appraisal. When a company applies for a technology appraisal, KOTEC selects one of those appraisal types in accordance with the applicant's demand. Irrespective of the appraisal types, the results of technology appraisal is presented in a standard 'Technology Appraisal Report', with the monetary value of the technology assessed or ratings expressed on the report.



Technology Valuation View

Definition

The monetary value of subject technology is assessed through this type of appraisal. Evaluators in KOTEC determine the market value of the technology mainly through the calculation of the monetary value of present and future income generated by technology. It is a sophisticated technique that requires expertise and knowledge of the current level of technology and foresight with regard to future directions.


Output

Monetary value


Objects to be assessed

Intellectual Property such patent rights or copyrights


Appraisal Tool

KOTEC's Technology Valuation


Purposes

This appraisal type is employed for the purposes of transferring, buying or selling technology. When domestic or overseas businesses or individuals want to transfer technology, when a technology is being transacted, or when a technology business unit is being merged or acquired, this method is adopted to ensure a secure and fair transaction or transfer. It is also used to assess the collateral value of intangible assets or intellectual properties like patent rights.

Technology Project Viability Assessment View

Definition

This type of appraisal refers to a process where technological competence, marketability and commercial viability of a certain technology project or the applicant company is assessed systematically.


Output

A technology rating and the appraiser's opinion on the evaluation result are provided to the applicants or to the authorities concerned.


Objects to be assessed

technology projects or applicant companies


Appraisal Tool

KTRS


Purposes

This assessment is undertaken mainly for the due diligence during the credit guarantee underwriting process

KOTEC is entitled to certify the legal status of Venture Businesses or Inno-Biz enterprises by evaluating technology and business potential of tech-savvy companies. This type of appraisal is also conducted for that purpose.

This is also performed for the purpose of helping the government, local authorities and financial institutions to select beneficiaries of their grants or subsidies.

Comprehensive Technology Appraisal View

Definition

Comprehensive Technology Appraisal refers to an blanket evaluation where a company's technological capabilities are evaluated together with its management competence and business outlook.


Output

Rating, monetury value and / or opinion


Objects to be assessed

companies


Appraisal Tool

Technology valuation and/or KTRS


Purposes

For those looking for a promising firms to invest in or lend to, KOTEC's technology appraisal reports serve as a good reference, presenting an in-depth analysis on the technological prospects as well as financial performance of the company.

This type of appraisal is also used to evaluate the enterprises planning to go public on KOSDAQ, the over-the-counter stock market. KOTEC is entitled to recommend the Venture Businesses whose technological competence and growth potential outweigh its mediocre financial standing for the IPO screening.

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