Michael D. Moberly, Principal, Founder kpstrat and ‘Business Intangible Asset Blog
Creative businesses and the variously unique and individualistic services creatives offer, and products they produce, often originate in small enterprises, sometimes one’s which have been familial and/or generationally formed.
Legitimately, here lie creatives’ intangible assets, ala various shades of (personal – professional) structural + relationship capital. Both of which are observable, distinguishable, often replicable, and where valuation (of their products – services) converge.
Preferably, this convergence leads to developing – expanding awareness, followers, and demand, often from within relatively small and/or yet-to-be-revealed – recognized audiences, for their skill sets, services, and/or products.
Creative businesses which I am familiar, hold commonalities, e.g., wherein relevant software, etc., serve as technological enablers to more – efficiently apply – showcase their inherent (creative) skill sets. The latter intertwines with creatives’ ability to finesse the technology – software to create visionary – imaginative characters, representations, images, and illustrations, etc., for target (transaction specific) audiences, clients, and buyers, etc.
The valuation of a creatives’ work, i.e., their skill sets, services, and/or products they produce (can serve as valuation – competitive distinguishers and influencers. Also, each may encompass what each creative is willing to accept – sell at particular- points-in-time, and/or have the capability to hold – exhibit (their intangibles, products, or services) in some manner, e.g., an inventory awaiting potential – future transaction opportunities. This is not wholly unlike what variously occurs in other sectors’ products, services, and/or commodities.
A creatives’ services – work products often convey (at least through my lens) individualism and an entrepreneurial spirit, wherein profession-business specific visions emerge, e.g., architects, artists-painters, entertainers, musicians, photographers, actors, dancers, and book illustrators, etc., as well as in advertising and marketing of products – services.
Many creatives exhibit receptivity to cultivating – honing their creativity by, among other things, framing – asking relevant questions of prospective clients – customers, etc., to generate – differentiate – converge ideas and integrate same with customer – client preferences which may have been initially, ineffectively, but matter-of-factly, conveyed.
These attributes – characteristics which many creatives’ hold, play important and contributory roles – value adds insofar as exhibiting their structural and relationship capital (intangible assets). These attributes – characteristics can variously translate as a creatives’ risk taking style and operating culture (for their services – products) and a willingness to be expressively different, which may include occasional impulsivity. In many circumstances, this is a good thing!
There are countless, small, niche (under-the-radar) businesses, i.e., services-for-hire, and/or products-produced-on-demand, etc. in which ‘creatives’ are fully embedded and mission essential.
Some ‘creative lead’ businesses exhibit little receptivity to being un-necessarily bound by particular (business) conventions or models which may materialize to limit their inherent and distinctive attributes and characteristics, or the scope of the work they wish to engage.
Collectively, creatives represent an increasingly important and profitable segment of many countries’ economy. The Association of Chartered Certified Accountants (ACCA) has reported that as much as 10% of the global economy is attributable to the work of creatives.
- That ACCA report also encourages, creative businesses to foster more business-like strategies with respect to the production, utilization, and exploitation (of their intangible assets).
- I and kpstrat translate this ‘encouragement’ to being more aware of (fiduciary) obligations to sustain (safeguard – preserve) control, use, ownership, and monitor the value and materiality of the intangibles (products, services, etc.) which creatives input.
- Doing this, can lead to ‘creative businesses’ being more lucrative, competitive, and sustainable, and perhaps, less transient – ephemeral.
Experientially, creatives are likely to be attracted to – associate with ‘learning organizations’, that is, their founders, leadership, and practice area management teams will likely be receptive to seeking, assessing, and applying ways, when-where appropriate, to ethically exploit ‘creative change’ within their organization.
Too, businesses in which ‘sustainable creativity is mission essential’ often embrace researching and learning about ‘horizonal changes’ as an essential ingredient to sustaining + executing their vision of normative competitiveness in the present-day go fast, go hard, go global business transaction environment.
Readers of Mr. Moberly’s – kpstrat’s ‘Business Intangible Asset Blog’ are encouraged to review and comment on other posts wherein arrays of issues related to business things intangible are experientially researched and authentically and practically expressed.