IP Valuation:
The process of identifying and measuring benefit and risk from an intangible asset.
IP Valuation is an ESTIMATION of an intangible asset value, not a precise figure.
IP Valuation depends on:
- Use of the IP assets
- Market share of company
- Openness of economy
- Legal protection of IP
- Enforcement cost
- Economic growth
- Profile of economy
IP Valuation is utilized for:
- Commercial transactions
- Pricing product
- Evaluating potential merger or acquisition candidates
- Identifying and prioritizing assets that drive value
- Strengthening positions in technology transfer negotiations
- Making informed financial decisions on IP maintenance, commercialization and donation
- Evaluating the commercial prospects for early stage Research & Development (R&D)
- Evaluating R&D efforts and prioritizing research projects
- Financing securitization
- Litigation
- Tax planning
IP Valuation Methods