How can patents benefit your business?
Patents can benefit your business in several important ways. First, a patent gives you exclusivity throughout the term; the power to prevent your competitors from making, using, and selling products and services containing your patented technology. As a result, you have the power to be the only source of that product, giving you substantially more control over pricing, margins, distribution channels, and customers.
Second, you can license or sell rights to your patent. Imagine the margins on licensing revenue. No costs associated with production, delivery, customer service, or any business infrastructure. You’re selling ideas.
Third, you can use your patents as a shield against patent infringement. Before bringing a lawsuit against you, smart companies will analyze your portfolio to assess whether you have the right patents to strike back against them. If you do, they’ll be inclined to negotiate a cross-license, or walk away.
Fourth, you can leverage your patents to bring in investors. Savvy investors appreciate the power of patents and place high value on the right patent portfolios. And, just as savvy investors appreciate the value of patents, so does the marketplace.
And, fifth, the right portfolio can ultimately increase shareholder value.