Metis Partners was instructed by a Company that specialized in creating branded and original content for interactive software platforms on consoles and handheld gaming devices and had created a significant catalogue of proprietary virtual items. In response to a changing market landscape, the Company developed a new business proposition.
As part of its growth strategy, the Company was looking to get both an assessment of its complete IP inventory and a valuation of the IP portfolio in order to strengthen its value proposition and attract additional investor funding.
Metis Partners was engaged to perform an IP Audit to identify relevant IP assets which underpin the Company’s competitive advantage, with a focus on identifying areas of weakness and risk where IP asset value could be compromised. We subsequently provided an IP valuation in advance of the fundraise.
Adopting our Metisology® approach, we conducted an on-site day with management to identify business differentiation and competitive advantage, to map the Company’s IP assets to products/services and revenues/forecasts, and to assess the critical IP assets that underpin materially significant revenues.
In addition to the brand-related assets and the portfolio of ‘virtual items’ that had been created by the Company, we discovered numerous IP assets including trade secrets, source code and three-dimensional object design files, associated script and wealth of key organizational knowledge that were in fact underpinning the virtual items and virtual worlds the Company had created.
Our IP Audit identified critical IP assets which the Company had overlooked and undervalued. The IP narrative we provided enabled the Company to clearly articulate how its IP portfolio underpins its future cash flows and competitive advantage.
We provided the Company with advice on how to mitigate identified risks and improve the value of these IP assets, and the Company was able to action these recommendations in advance of its fundraising to maximize its value proposition.
Our IP valuation became a reference point for the Company’s fundraise and provided investors with much-needed transparency of this IP-rich, physical asset-light, innovative company.
IP Assets Valued to Support Fundraise – brand-related assets, portfolio of ‘virtual items’, software, trade secrets, designs and extensive organizational knowledge.
