Disadvantages of Asset Sale

Valuing intangible assets is very subjective and a difficult task. In our asset sale example, we valued Trick Plc.’s goodwill as $9,000. Methods of goodwill valuation are several and seller would like to negotiate with a higher amount, while buyer would like to settle with a lower amount considering potential risks in investment.
It may be difficult for the buyer to get transferred the ownership of certain assets such as leasehold assets, licenses, or intangible assets. Transferring involves consent from third-parties and massive legal documentation.