What does it mean to sell IP?

Published by Charlie Davidson on

What does it mean to sell IP?

Again, think of it as selling the patent to another individual or company. You sell it, and they own it. When your startup assigns the rights to a trademark and your goodwill, the assignee becomes the owner of that trademark… they have the same rights as the startup that owned it in the first place.

How do you monetize a patent?

  1. Outright Sale. The quickest way to monetize patent rights is to sell the patent to an interested buyer.
  2. Licensing. Your rights in a patent are actually a bundle of rights that allow you the first crack at profiting from your invention.
  3. Enforcement.
  4. Patent Pools.
  5. Release Strategy.

What are the revenue streams for IP?

Licensing and Sales Licensing is the best and easiest approach to turn Intellectual Property such as trademarks, copyrights and patents into revenues. Financial markets now recognize these royalty revenues as financial resources.

How do you make money from intellectual property?

Make money from your intellectual property

  1. Identify your intellectual property. To fully exploit your intellectual property, you will need to have protected it by copyright, trademark, patent or design right.
  2. Licensing your IP.
  3. Become a franchise.
  4. Sell your IP.

Can IP be sold?

If you do not want to, or cannot, exploit your intellectual property (IP) yourself, you can sell it to someone else. This means that you get paid for the IP you have spent time and money developing. The buyer is then free to exploit the intellectual property that they have bought in whatever way they choose.

Can you sell your IP address?

Whatever you call it, any company that possesses unused internet addresses — that is, internet protocol version 4 (IPv4) addresses — can very likely sell them at a high profit margin. Sellers can pocket most, but not all, of the proceeds from the sales.

Who owns the patent for money?

The federal government, through the operation of government-owned research facilities, research grants to universities and procurement contracts with private industry, funds almost 50% of the national R&D effort. Because of this enormous funding, the federal government has the most United States patent rights.

Do Patents earn money?

As patent holder, you retain ownership of the invention and earn royalty payments on future sales of the product. You can grant an exclusive license to one company or several companies. Royalty rates run from 5% to 20%, so the product would have to sell quite a bit for the patent holder to earn big money.

How do you value an IP?

The principal methods for valuing IP assets are:

  1. Income method. The income method is the most commonly used method for IP valuation.
  2. Market method. The market method is based on a comparison with the actual price paid for the transfer of rights to a similar IP asset under comparable circumstances.
  3. Cost method.

What are the ways of direct monetization of IP?


  • OUTRIGHT SALE: Selling the patent is one of the easiest and quickest ways to monetize the IPR.
  • SALE AND LEASE BACK MODEL: In this model, the IPR owner sells the patent with complete transfer of ownership for a consideration.

Does copyright earn money?

With fixed works—whether CDs, novels, fine art sculptures, or anything similar—artists can make money in two principle ways: licensing their copyright or outright assigning their copyright (i.e., fully selling their rights in a work).

Categories: Contributing