# Goodwill

*Professional & Ethics — Finicade finance glossary*

The premium a buyer pays for a company above the fair value of its identifiable assets — brand, reputation, customer loyalty. It sits on the balance sheet until, sometimes, reality forces a write-down.

**Related terms:** [Balance Sheet](https://finicade.com/glossary/balance-sheet), [Enterprise Value](https://finicade.com/glossary/enterprise-value), [Book Value](https://finicade.com/glossary/book-value)

Source: https://finicade.com/glossary/goodwill