3+ Sample Patent Valuation Report
What is a Patent Valuation Report?
A patent valuation report is a report done for the patent valuation. What is a patent valuation? A patent valuation is the appraised value of your assets upon the intellectual property of your discovery. This appraisal is needed for you to know the right value of your assets. If you have many inventions, your company portfolio is needed for patent valuation. You should also prove that you are the rightful owner of the discovery together with the company profile. If you are going to research, you will know that an IP (Intellectual Property) valuation report sample or an IP valuation sample needs a project portfolio so that patent valuation companies will have something to examine.
For you to understand more about patent valuation, you can search for a patent valuation PDF or intellectual property valuation PDF on the internet. Get an IP valuation example and know the intellectual property valuation methods or patent valuation methods. To assess the value of your discovery, you can use an intellectual property valuation calculator. Through it, you can know the monetary value of your invention. You will have an idea of how it can impact your revenues. In the end, your stock performance and reputation can be enhanced.
Factors That Affect the Patent Valuation Report
There can be several factors that can affect the patent valuation report. Know that according to these factors, your discovery can be priced. Below are some of the factors that can affect a patent valuation.
Functional Cost: The functional cost of your discovery is considered for the value of the patent. According to the practical relevance of the cost, the value of the patent may be lowered or increased. So, if not so much is spent on your discovery, you cannot expect your discovery to be valued so highly. On the other hand, if your invention has required a lot of money from you, it can be possible for it to have a high value. Know that it depends on the money that you have spent on your invention for it to be assessed. The project cost has a lot to do to know the value of your discovery.Technology Relevance: If your discovery is a great breakthrough in technology, you can expect it to be assessed highly. Be aware that your discovery should keep up with the latest trends in technology. If it is something obsolete, then it can be of no value. But if it is an innovation that is something new where many people can benefit a lot, then it could have great value. Your invention should be relevant to technology as we are in the digital age today. Everything that is not modern enough is of less importance. So whether you have spent a lot on your project budget for your discovery, it does not matter as long as it is not relevant to technology. It will still have a low value.Remaining Lifespan: Can your discovery last for a very long time? If your discovery will just be trendy for a short time, then it cannot have a high value. The value of the patent for being high should ensure that this discovery can be valuable for many years to come. The lifespan of the patent has a vital role in having a great appraisal. So, in the appraisal evaluation of your discovery, the lifespan of your invention will be greatly examined. The evaluator should assess whether your invention will just last for a few years or if it can be used for a lifetime. If your invention can be useful through the years to come, then expect that it will have great value. For you to have great value on patents, make sure that your inventions can last for a lifetime.Economic Value: What is the value of your invention in regard to the current market? Is it something that is a must to buy? When your invention can be proven to be useful by many people, it can be sure of great value. Before having inventions, consider a perfect market where they can be sold. This way, you know that your discovery can find its way into the market. When the discovery has a sure market, it will surely be highly appraised. This is because the evaluator can be sure that your products or services can sell. Just with a little brand strategy, you can be sure that your invention can be popular with the people. You know many can patronize your inventions because it will not have difficulty in reaching its target market.Project Timeline: The project timeline greatly affects the value of the patent. For an invention that has been tested for years, this has a better value. So, if you made an invention for decades, you can expect a high value in patents. But if your invention is finished in just a few months or years, it may not have great value. We know that if a product has been tested for many years, you can ascertain durability and quality. Because of the great quality, surely it will also have a great monetary value. That is why the project timeline is greatly considered in the assessment of the patent valuation.Income Value: Just how much can your invention bring to the table? If the evaluator will see that your invention sells, then it will have a higher value. But first, you have to prove that many people want your discovery. You must show big revenues in your income statement. A selling discovery cannot have a low value because it is proven to be valuable. If many people want to patronize your products or services, you know that it has a high appraisal for its patent. That is why when you know that your invention is valuable, you must do everything to secure a patent. This way, no one can steal your inventions from you. You can be sure that you will be the only one that can benefit from your discovery.Risk Approach: A risk assessment can be done for your invention to be sure that your discovery is safe. No risks should be found associated with your discovery. If there is, the value of the patent can be lowered. For an invention that seems to be perfect, it can have a high value. We know that risks are true all the time. But if your discovery is proven to be safe, then it can have a high appraisal. This is because it can be something that can be recommended to anyone. We know that it can be a great product or service that is perfect for anyone to have.
Tips on Patent Valuation Report
The value of our intellectual property is important because we have to protect our rights for our inventions. But what are the things that you have to do to have a high-value patent? The following are some of the practical tips that you can do:
Understand the Value of IP: Everyone in your organization should understand the value of IP. To do this, have a firm organization chart where you will discuss the importance of IP for the patent valuation. By having this, you may be able to inform everyone of the value of IP. This way, all the team members will protect your inventions. Make everyone understand how the discovery provides solutions for your business. When they know the importance of your discovery, they may understand why a patent is important.Consider All Protections: Regarding IP, you must know how to protect your inventions. Be familiar with how you can protect your intellectual property. It will be useful if you will read everything about IP. Research the things that are important about IP. This way, you will know how you can justify if you want to have a high value for your invention. You will know how you can protect your discovery and you can be sure that you will have your rights for it. It will be easy for you to engage in business agreements having the patent valuation.Make Documentation: For everything that you do regarding the patent, make a record. Documentation is necessary because you have to keep track of everything. You may need the documents in the future especially if you have to prove your rights for the IP. There may be business contracts where you have to present your patent. Be sure to have documentation so that you will have the right resources in the future. It is impossible not to need these documents. So, keep a record of everything.Have a Proper Budget: To get a patent, you may have to spend some money. For this reason, you should allot a budget for the patent valuation. To make everything easier, you must have a budget plan that can make you have a proper budget for the patent. Be sure that you can allot enough money that can sustain your needs for the patent.Be Prepared: You should prepare yourself and your business in getting a patent. Remember, you have to prepare due diligence for the IP. There are a lot of things that you have to prepare. Be sure that you will have everything when you need them. So, a document checklist can be helpful so that you can comply with everything.
How to Get a Patent Valuation Report
When you want to establish your presence in the market, IP is very important. You need patents for all your inventions. Is it your first time to have a patent valuation report? The following are the steps that you can follow:
1. Check the Requirements
The first thing that you need to have a patent valuation is the requirements. Check if the patent is active. Check also about the fees like the maintenance fees. The fees are important for the patent to not be considered abandoned.
2. Fill Out a Patent Application Form
After checking the requirements, you have to accomplish the patent application form. Like any other application forms, you have to write all the vital information. You may also be required to present your business plan, financial statement, and marketing plan.
3. Assemble a Team of Experts
You may need a team of experts that will make you understand the patent process. Know everything that you need to get a patent. Be prepared for all the documents that you have to present.
4. Consult a Lawyer
To make sure that you will have all the protection that you need, you must consult a lawyer. Hire a reputable lawyer who specializes in patents. Consult everything about your invention.
5. Get a Patent Valuation Report
After that, you must consult patent valuation companies to help you with the patent valuation. In consulting these companies, be honest about your invention so you can have the right monetary value for your discovery.
What are the methods used in patent valuation?
The methods that are used in patent valuation are the cost approach, market approach, income approach, time approach, uncertainty approach, flexibility approach, and changing risk approach.
What are the advantages of patent valuation?
The advantages of a patent valuation are having something to use in financial reports and knowing the potential value of your invention.
A patent valuation report is needed so that you can assess the right revenues that your invention can give to your business. It may require you to accomplish many things to get a patent. You may need to spend some money. But patents are important for you to protect your rights regarding intellectual property. There is no reason for you not to have a patent valuation.