Startups
Betting on the Home Run
Angel investing requires analyzing the ability of the entrepreneur to make their business happen. Entrepreneurs who bet everything on a single home run are very poor investments. It is much better to find the “grinder” startup who is willing to do the hard work. Betting on the home run – instead of being a “grinder”…
Read MoreUsing Patents as Blackmail
A case study on why you need the right inventors agreements for a startup: a former employee turns patent troll. My company finances patents for small to medium sized companies, so I often get inquires from people who want to build out a patent portfolio. A while ago, I received a call from an inventor…
Read MoreStartup Fundraising – Pluses and Minuses
From bootstrapping to venture funds, there are many different avenues. Fundraising for a startup company often takes more skill, talent, and innovation than creating the product or service you want to deliver. I deal with IP-centric businesses where patents are a core asset, and that implies that the entrepreneur is creative, innovative, and tries new…
Read MoreInhouse vs Outside Patent Counsel
There are Two Types of Lawyers There are two types of patent lawyers: outside counsel and inhouse counsel. Each type of lawyer plays a completely different role, and the two types are at a constant battle with each other. It is not to say that there is a war, but there are diametrically opposed interests…
Read MoreWebinar: IP Due Diligence in Two Questions
There are two questions to ask every time you are dealing with patents: Can you tell if someone infringes? How hard is it to design around your patent? With these two questions, you are 90% of the way there on IP due diligence. Here is my presentation to Band of Angels in October, 2020.
Read MorePatents in a Business Context
Why patents as a “lottery ticket” is a losing proposition. A business owner makes hard business decisions, especially when it comes to IP. There is only so much money and so much time, so how do you decide? Patents represent enormous potential value, and they feel like a lottery ticket. The risk to reward –…
Read MoreValuable patents solve contradictions
Amazon’s One-Click patent is the epitome of “non-obviousness” Inventions are not obvious – they have to solve some kind of contradiction. This idea holds true for businesses. Startups that can solve a contradiction in the market have a particular advantage – and so do patents. One of the most talked-about inventions 10 or 15 years…
Read MoreWhy Marketing Is More Important than Patents
Entrepreneurs have been fed this lie that the first thing they need to do is get a patent, then work on the business. This is a bad strategy. As an investor who finances IP for startups, I want some data to support the investment in patents. The best strategy is to do the marketing first,…
Read MoreWhy Your Patent Attorney Does Not Want Your Patent To Be Granted
There is a perverse incentive for your patent attorney to *not* get your patent allowed. It is called “money.” Clients are at the mercy of their patent attorneys. For small companies who do not have inhouse patent counsel, they outsource their patents to outside counsel who have a financial incentive to keep a patent pending…
Read MoreJoin an Accelerator – and Lose Your Intellectual Property
Companies that join accelerators, incubators, coworking spaces, CEO roundtables, etc. are at a huge risk of losing their IP – just because they participate. Most patent valuation analysts will remove 50% or more of the value of a company’s patent just because they were in an accelerator. Lose *half* of your most valuable asset –…
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