Banking License - In business valuation analysis, a Banking License is one of the intangible assets and depending on the state of the bank, the banking license may command the highest fair market value. A Banking License is legal permission granted to a financial institution to carry on banking business. Under the laws of most jurisdictions, a business is not permitted to carry words “bank” in their name, unless legally permitted to do so with an appropriate license. A traditional banking license allows the bank to offer financial products and services, have a physical presence, with widespread branches and depending on the scope of the license, have a local, regional, national and international operations. A Banking License is categorised as contract intangible assets as it grants protective and legal rights to the bank to conduct business in a legally regulated setting. Business valuators estimate the fair market value of intellectual property license by applying techniques under the market, asset and income valuation methods. A banking license qualifies as an intangible asset because it is identifiable, separable and potential economic benefits can be accurately measured.