A physical asset, also known as a tangible asset, is an object which has value. Physical assets are tangible things which are either valuable in themselves, or which produce value for the owner. This is different from intangible assets, which have value but do not have a physical presence. An example of a physical asset is a car; it is a physical object which can be touched and which has a clear value. An intangible asset is something like a patent, which protects intellectual property and therefore helps to generate profits, but cannot be physically handled.