People are not listed as assets of a company, although their skills and expertise may generate revenue. The exception to this is football players. They generate revenue for the club, and can be sold off (unlike regular employees – I hope!)
Football players are a special group of assets, meeting the qualification criteria for IAS 38.
In order to capitalise or put a value on footballer as an intangible asset for the financial records, the following is to be considered:
- The cost at which the footballer is capitalised; are agent fees to be included?
- Amortisation – over the contract period
- Valuation of footballers trained through a club’s football academy valued?
© countingonaccounting and Nuan Moji, 2013. The unauthorised use and/or duplication of this material without express and written permission from this blog’s owner is strictly prohibited. Excerpts & link may be used, if full & clear credit is given to Nuan Moji (blog owner), and countingonaccounting, with appropriate and specific direction to the original content.