Forum: Goodwill is an asset that remains when a company closes
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I was saddened to learn that Singapore baby-care brand Tollyjoy will be closing after 55 years (‘A bittersweet moment’: Baby, mother care firm Tollyjoy to wind down brand after 55 years, Sept 21). The company said the decision was not driven by financial considerations, but followed careful deliberation about its future direction.
As a father of two, I have bought more Tollyjoy products than I can remember. Countless feeding bottles, cleaning accessories, baby-care items, and everyday essentials had quietly passed through our home, serving not just my children, but also myself decades earlier.
Few Singapore brands have been part of a family’s life across three generations.
As a research manager, I examine intellectual property (IP) and intangible innovations. Winding down a company is relatively straightforward. Untangling the IP assets that form its DNA is far more complex.
Over the years, Tollyjoy grew from a local manufacturer into a regional brand with hundreds of products across multiple categories. The closure means its evergreen and popular products are off store shelves.
Behind these products lie years of accumulated IP capital. Some assets such as trademarks, product designs, packaging artwork, technical specifications, manufacturing know-how and quality management systems are formal rights that can be sold, licensed or transferred.
The more difficult asset to account for is goodwill.
Goodwill does not belong to an official register like a patent or trademark. It exists in memory, reputation and trust.
Tollyjoy’s farewell message thanked families for letting the company accompany them through “first feeds, first baths, first steps and all the precious milestones in between”. Those words encapsulate why the legacy brand’s departure feels personal to many parents.
Singapore’s leaders speak about innovation, R&D and future growth industries. These are important for our continued growth.
Tollyjoy’s closure reminds us that IP assets do not always need to be new and cutting-edge. They can be built up patiently over decades of manufacturing consistent, quality products, building a brand known for good value, and becoming a familiar name on store shelves.
Ian Tan