A permit is a legal authorisation granted by a regulatory authority or government that allows a company to engage in certain activities. Permits hold value as intangible assets because they confer exclusive rights or privileges to a company. For example, a construction company may possess a permit that grants it the right to build in a specific area. This permit represents a valuable intangible asset as it provides a competitive advantage, establishes market entry barriers for rivals and demonstrates compliance with regulations. CEOs must manage these permits strategically, as they can directly impact a company’s ability to do business, secure contracts and maintain a strong position.