IP Asset Sale
As with other forms of property, IP assets can be bought or sold to raise money. However, an IP transaction can be complex and may require professional assistance when selling IP to raise money. For more information, please use the contact us page.
It may be that your business model has diversified in recent years, and you no longer rely on certain IP assets which could be valuable to competitors, or new market entrants looking for quick-to-market benefits by utilizing the value of already developed IP. However, there are a number of things to consider before deciding to take your IP to market.
Making sure your IP is well-packaged and ready to sell is a key component of a successful IP transaction. Doing so will help to generate a greater return and avoid the likelihood of price chipping following offer acceptance.
Depending on the nature of the IP asset(s) you are planning to sell, there are a number of things to consider, such as:
IP Ownership:
Businesses operating in complex group structures may need to consider IP ownership issues, and whether related components of the IP asset are spread and legally owned across several entities. It could be that the patent you are looking to sell has critical supporting documents (organisational knowledge) which were created and legally owned by another entity within the group, therefore ironing out potential ownership issues at the outset will help ensure a smooth transaction and avoid the potential for price chipping. Click here for professional IP sale support.
Renewal Fees:
If the IP you are planning to sell involves patents, trade marks or design rights, you may need to consider the impact that renewal fees will have on offers received. Although renewal fees are expected, should an interested party doing due diligence on the IP discover that there are a substantial amount of imminent or pending renewal fees, this will likely be reflected in their offer price.
Securing the IP:
Before considering selling IP assets such as software, it would be important to consider the implications of removing this from your business whilst keeping the software live, including the upkeep of server fees until a transaction has occurred.
