Renting Your Patents – How does that work?
What does it mean to “rent” my patents? Isn’t it better to own them?
BlueIron’s financing allows you to “rent” your patents by having an exclusive license to the patents. This gives you all the legal benefits of owning the patents, such as being able to enforce the patents, license and sublicense the patents, keep competitors out of your markets, and even raise money because those assets are yours and nobody else’s.
BlueIron’s financing terms are set up to have low payments during the initial years of the patent, then increase gradually over time – which is when you can better afford the payments. Over time, your cost of capital will decrease substantially, which gives you the option to buy back the assets when it makes financial sense to you.
What is the difference between “renting” and “owning”? Practically nothing, other than you have more money in your pocket to invest in your company.
It makes much more financial sense to rent office space than to tie up your capital in a commercial building. Why not use your capital as efficiently when it comes to your patents?