What Does it Take to Effectively
Manage Your Patent Portfolio?

IP News and Information

The first step to strong patent portfolio is obviously developing the portfolio. This takes time and effort and it typically takes building your portfolio through several different streams. You can innovate in-house and continue adding organic patents or you can purchase patents already created by others that can add additional strength to your organic filings. You can also seek out licensing opportunities to help strengthen your portfolio. However, in most cases, building a strong patent portfolio takes a mixture of all three of these elements. When you have built up your portfolio and reached a position of strength, the next step is managing that portfolio. “Sound portfolio management is crucial,” according to IPTrader president, Arlen Olsen. “Even if you own dozens or hundreds of great patents, if you mismanage them, they can end up being practically worthless.”

Get to Know Your IP

So what does it take to properly manage your patent portfolio? The first thing you need to do in order to manage your patent portfolio effectively is to know it sufficiently. You have to know what patents you have, what things they cover and what they are worth. You should also know which patents are the most likely to be infringed upon and which ones are most likely to be desired by other companies. So make sure you know which patents cover what subjects and what products you have. This is the first key to proper patent management.

Trim and Add Where Needed

Another important key to strong patent portfolio management is to know when to hold onto them and know when to let go. Companies with large portfolios might be able to do themselves a real favor by taking the time to sift through what they have and jettisoning those weaker patents or those that no longer fit their company’s core business objectives. Not only can they save money by ridding themselves of renewal fees, but also they could find another party who is interested in purchasing their patent, which would bring in additional revenue. Additionally, it’s important to always be aware of the patents that could become valuable in the future and to hold onto them. That’s why knowing what’s in your portfolio and what areas and claims your patents cover is so important.

Think About Monetization

The other key factor to strong patent portfolio management is knowing when and how to monetize your IP. As previously mentioned, dumping patents by transferring them to others can bring in additional funds. However, that is not the only way to monetize your portfolio. While transferring or selling a patent, or patents, can bring in a nice lump sum, by licensing your patents to one or several companies could generate additional income streams for the life of the patent. Make sure you know the true value of your patents before selling them outright. If you can make a lot more from holding onto them and licensing them to other companies then hold on as long as you can. There are also two kinds of licensing to consider: out of court licensing and litigation licensing. Consider both options and do both if necessary.

Contact IPTrader for Help

There are many ways to go about managing and monetizing your IP. If you are looking for assistance with IP monetization, then please contact us below at IPTrader today.