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goodwill Definition

good·will (-wil)

noun

  1. a friendly or kindly attitude; benevolence
  2. cheerful consent; willingness
  3. Accounting an intangible asset which takes into account the value added to a business firm as a result of patronage, reputation, etc.

goodwill Finance Definition

An intangible asset above and beyond the concrete value of a business or asset. For example, the value of a business’s good name and customer relationships. Goodwill is listed as an asset on a company’s balance sheet and must be amortized over its reasonable life, which can’t exceed 40 years. If a large corporation purchased a small business for $25 million, but its actual value is determined to be $35 million, goodwill is valued at $10 million.

goodwill Usage Examples

Preposition: of

  • landholder: Conservation of our wild heritage depends on the goodwill of landholders - please don't abuse it!
  • landowner: SNH rely on the goodwill of landowners and farmers to further their conservation achievements.
  • profession: The goodwill of the profession has been shocked and dissipated, for on no material point have its wishes been met.

Converse of object

  • amortize: Apart from amortizing goodwill arising from acquisitions, none of these changes has had a material impact on the Group's accounts.
  • generate: Our venture into Asian territory met with more success and the goodwill generated may well be the basis of further collaboration.
  • acquire: Channel 4 has acquired considerable goodwill for its excellent coverage of racing.
  • exclude: As at 31 December 2001, Euroclear had net assets excluding goodwill of E650 million ( £ 397 million ).
  • maintain: It is the planned and sustained effort to establish and maintain goodwill and mutual understanding between an organization and its publics.
  • retain: If you want to retain goodwill, you will probably want to purchase the business as soon after insolvency as possible.

Adjective modifier

  • adherent: It might therefore be divisible into two kinds: adherent free goodwill and separable free goodwill.
  • negative: Negative goodwill should be written off to P&L in the periods expected to benefit from the associated assets.
  • immense: Despite the immense goodwill of a grateful nation, Miller has slumped into struggle and despair.
  • seasonal: Goodwill to All - 21/12/05 Leeds Met staff have been busy spreading seasonal goodwill throughout and beyond the university.
  • mutual: In that sense the Kurdish problem in Turkey is genuinely soluble through mutual goodwill.
  • tremendous: There is tremendous goodwill from a number of high-profile organizations, but the problems are daunting.

Modifies a noun

  • amortization: The lower goodwill amortization charge in 2005 reflects the goodwill impairment charge taken in 2004.
  • ambassador: Jolie, who is a goodwill Ambassador for the United Nations, indicated that the Afghan refugee crisis is not yet over.
  • gesture: Prime Minister Ariel Sharon said it's a goodwill gesture to Palestinian leader Mahmoud Abbas.
  • impairment: The lower goodwill amortization charge in 2005 reflects the goodwill impairment charge taken in 2004.

Preposition: by

profession: An early special meeting of Council was urged to endeavor to arrest the loss of goodwill by the profession.

Browse dictionary entries near goodwill

  1. goodwife
  2. goods and chattels
  3. goods
  4. goodput
  5. goodness
  6. goodman
  7. goodly
  8. goodish
  9. goodbye
  10. Goodall
  1. goody
  2. goody-goody
  3. goody-two-shoes
  4. Goodyear
  5. gooey
  6. goof
  7. goof-off
  8. goofball
  9. goofy
  10. googol