Maximizing Patent Value

ActiveLinks Ltd. leverages its experience in facilitating tens of IP transactions to help sellers maximize their IP price. This results in sellers having a much better chance to get a significantly higher return on the sale of their Intellectual Property (IP).

Take for example, a patent which, without price justification may ordinarily sell for only $20,000 to $100,000. This same patent could potentially sell for many hundreds of thousands, or even millions of dollars, if presented with a strong price justification.

The valuation of patents is a subjective matter and is not an accurate science governed by a fixed set of rules or standards.The most common methodology for patent valuation is based on the licensing revenue potential of products that use and infringe the subject patent.

Take, for example, a patent that is used and infringed by an existing router manufacturer. If a credible source (such as IDC or DataQuest) were to forecast that the patent could generate revenue of $100 Million in sales over the next five years, this means that based on royalties of 2% to 3%, it could generate licensing revenue of $1.5 Million to $3 Million. Consequently, it would be likely to sell for around $1 Million.

ActiveLinks Ltd offers its extensive expertise in helping its clients prepare the best price justification and thus, get the highest possible selling price for their IP.

Immediately after the seller engages with ActiveLinks, a telephone call with the seller is scheduled (the IP Selling Process). A main topic of this call is guidance for obtaining the best possible price justification.