Have You Been to the IP Bank Lately?

IP News and Information

Depending on whom you ask, there are actually two different villains in the ongoing patent war that is patent infringement litigation. On one side you have the so-called patent trolls that obtain IP with the sole purpose of suing infringers and forcing them to pay licensing fees or huge settlements. On the other hand you have massive companies that own huge IP portfolios that cry foul every time a small company with very little or no actual business dealings attempts to obtain a patent. Either way, these patent wars give intellectual property a bad name. That’s a shame because without new innovation (and new IP), which often comes from smaller startup companies, these startups can’t really get of the ground and innovation suffers. So what can be done to change this unfortunate state of affairs?

Monetize With an IP Broker

There are hundred of large companies that own huge patent portfolios that are not necessarily important for their business. However, these patents could be extremely helpful to another company, especially a startup that is trying to get off the ground. What these companies need to do is find a way to work together so they both can mutually benefit. One way to do this is through an IP broker like IPTrader. Buying, selling and licensing IP is a great way to avoid litigation and it helps both buyers and sellers become successful. There are also other legitimate opportunities that could help shift the way the world thinks about patents and how they are monetized. One such endeavor is the creation of an IP bank.

The IP Bank Is Now Open

It sounds like a novel idea, but the Dominion Harbor Group recently launched that exact concept, with the creation of the Monument Bank of Intellectual Property. The purpose of this bank is to give would-be sellers a place to go to offload their IP for a profit, and a place for sellers to go to either add to their existing IP portfolio or to start building a portfolio from scratch. The Dominion Harbor Group says that it stated the idea to help high-quality promising young companies gain strength in their industry and increase their market value. So how does it work?

Three Payment Plans

The IP bank does not work with licensing deals, but rather when someone goes to “deposit” their IP they are turning over ownership to the IP bank, which in turn turns over the ownership of that IP to the company that “withdraws” or buys it. There are three different models a depositor can choose from. First, they can deposit their IP outright to the IP bank and receive an immediate compensation. Second, they can turn it over without receiving any upfront payment but if the startup company that purchases the patent becomes successful the seller will receive a payment at that time. The last option is a combination of the first two, wherein the depositor receives a smaller upfront payment and then an additional backend payment when the startup achieves success.

Let IPTrader Broker Your IP Deal

This new concept could provide a real opportunity for both buyers and sellers to monetize their IP. It could also help give patent monetization a better reputation. Of course, using an IP broker like IPTrader is very similar to this concept, and we always help sellers make a profit. If you are ready to commercialize your underutilized IP, or you want to strengthen your IP portfolio then IPTrader can help you either buy or sell. Just contact us by scrolling down and filling out the form.