Good patents make your company much more valuable when raising money.
A patent portfolio increases your value when raising money. A strong portfolio sends a signal to investors that you are sophisticated, understand the marketplace, and mean to be a strong competitor in the marketplace.
The stronger your patent portfolio, the more of an “unfair advantage” you have in successfully making a market for your company. You have more business options, which reduce the risk to the investors and give them more confidence in your success.
Small patent portfolios of 3-5 patents might increase your valuation by $1m going into a Series A round, while larger portfolios of 30-50 patents might increase your valuation by $10m or more in later rounds. A well curated portfolio of substantial size can become a strategic asset that drastically increases your valuation, making it much easier to raise funds.
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