People hear the words “business asset” and immediately think of money, real property, products, and other things of value that physically exist. On the other hand, intangible assets also add value to the company but instead involve such concepts as agreements, reputation, goodwill, non-competes, patents and copyrights. These can be hard to put a value on, but using an outside analyst to put a value on intangible assets can be helpful.
Examples of intangible assets
Amid these intangibles, there are ones that can yield money over time. These involve payments that are not wages. For example:
- A property investment company may have several contracts involving tenants who pay rent.
- It could be a TV show scriptwriter getting royalties for a show in syndication.
- It could be a business licensing its products to others in foreign territories.
Placing a levy
Despite the intangible nature of the asset, an attorney can still serve a levy for money not part of a wage garnishment. A typical example is a debtor’s contractual rights to payment from others. The judgment would be for the entire amount owed.
Not only does this make them secured creditors, but it is also a claim to the debts of third parties who owe money to the debtor. The creditor can go a step further and legally collect money owed by the debtor’s debtor, directing collecting payments or taking other legal actions to ensure that all payments go to you until the debtor’s debt is satisfied.
Turning their debts into your cash
Intangible levies involve a complicated legal process with applicable laws and regulations, but the bottom line is that they can yield payments. It also may prove to be a motivating factor that gets debtors to find a way to pay off the debt.