Question 1

What is an IP committee?

Accepted Answer

Any business which relies on intellectual property (IP) assets to underpin its competitive advantage may benefit from establishing an IP Committee.  The role of an IP Committee should be to create, enhance and execute an IP strategy for your business which focuses primarily on risk management or risk avoidance activities.

Question 2

How can I commercialize my IP?

Accepted Answer

Metis Partners is a market leader in selling intellectual property (IP) both in and out of insolvent scenarios. Our bespoke sales and marketing exercise highlights the value in IP assets in a way that increases competitive tension and maximises the financial return on these assets. From building a tailored database of potentially interested parties, which includes our global network of contacts interested in acquiring IP, to handling and negotiating all expressions of interest, our comprehensive process ensures that you will receive the best possible return on your intellectual property.

Question 3

How can I license my IP?

Accepted Answer

An intellectual property (IP) license grants a third-party licensee the right to use your intellectual property in exchange for a fee or ongoing royalty payments. It is also a means of getting additional capital into your company, particularly if you are not currently using the IP or are only using it in a particular sector and/or geographical territory.

Question 4

What is an IP strategy?

Accepted Answer

It is a similar to a business plan but focused on your Intellectual Property (‘IP’) assets.  They include brand, trade secrets, data and know-how and are key operating assets in many businesses, driving growth and underpinning cash flows. Developing an IP strategy ensures that the overall business plan incorporates these key business assets. Businesses that have a robust IP strategy, designed to withstand investor due diligence, often grow faster and are typically more successful in securing lending and investment at higher valuations.

Question 5

What is an IP license?

Accepted Answer

An intellectual property (“IP”’) licensing agreement typically occurs between an IP rights owner (“licensor”) and someone who is authorized to use the rights (“licensee”) in exchange for monetary value in the form of a fee or a royalty, or both.

Question 6

How can I get IP on my balance sheet?

Accepted Answer

It is often difficult for companies to get recognition for investment in intellectual property (IP) assets on their balance sheets, even though these assets often make up more than 80% of the company valuation. Although certain types of IP assets can be capitalized at cost, the accounting rules don’t make this easy – typically, the most valuable IP assets such as the company brand cannot be capitalized on the balance sheet.

Question 7

How can I use IP to exit?

Accepted Answer

By identifying and cataloguing critical IP assets owned by your company and the important role they play, buyers’ perception of value is increased from its initial balance-sheet only calculation.

Question 8

What is IP-backed finance?

Accepted Answer

IP financing, IP-backed finance, IP backed lending, IP funding, IP pension-led funding and the list goes on…. However, the subject matter is broadly the same and lenders and businesses alike want to understand the methods and best practices in providing funding to IP-rich companies. The primary goal in this field of finance is to unlock the “hidden value” of intangible assets or IP assets such as patents, brands, software, trade secrets and copyrights, as the businesses seeking funding, typically are limited to offering their IP assets as the only or main form of collateral.

Question 9

Who are patent trolls?

Accepted Answer

A non-practicing entity (“NPE”) or patent troll is an entity which enforces patent rights against alleged infringers in an attempt to collect licensing fees, but which does not manufacture products or supply services on the back of these patents. They frequently take out or buy generalized patents – often on widely available technology – and then demand money from companies who use or offer it. This ‘legalized extortion’ means that companies are spending more time and money defending themselves against these infringement lawsuits rather than using those resources for R&D and innovation.

Intellectual Property Frequently Asked Questions

Intellectual property FAQs:

Learn More About Intellectual Property: