In business valuation, a Banking License is one of the intangible assets possessed by a bank which has been granted an authorisation to operate a banking business. Extended Banking License is a form of the license granted to digital-only banks that leverage the banking license of a mainstream traditional bank (parent) to offer a broad scope of financial products and target a distinct group of customers. Licensed digital banks are distinct from their parent bank, with a unique brand, service offering and separate offices. 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. The rights granted under the extended banking license for fulfilling the legal requirements to operate the banking business have value to the holder. In valuing a bank for transaction purposes, business valuators estimate the fair market value of the operating license separately from the tangible assets by applying techniques under the market, asset and income valuation methods. An extended banking license qualifies as an intangible asset because it is identifiable, separable and the economic benefits it generates can be accurately measured.