EN | ES | DE | FR | IT | 日本語 | 한국어 | 中文

Caldwell IP Video Series – Part II – How Critical Is A Patent To Getting Investors?

Caldwell IP Video Series – Part I – When Should Startups Get A Patent?
March 22, 2018
Caldwell IP Video Series – Part III – How Much Should Startups Spend on Patent Protection?
April 5, 2018


How Critical Is A Patent To Getting Investors?

Caldwell Intellectual Property Law Video Series – Part II


The second segment in our informational video series once again features a panel of four Caldwell IP clients at an MIT Enterprise Forum discussing whether or not having patents was a key factor, or “value driver”, in the growth or acquisition of their respective companies.



Joining Keegan are the following Caldwell Intellectual Property Law clients:

Tom O’Leary, Team Member at BETA Technologies

Jay Jacobs, Founder of RAPID and co-Founder of paperlessPARTS,

Karl Ruping, Managing Partner at incTANK Ventures

Cyrus Schenck, CEO & Founder of RENOUN


(Transcript for panel discussion below)


Let’s move on to another line of questioning. I want to direct this towards Jay and Karl, but, you know, feel free Tom or Cyrus, to hop in, as you want. You know, Jay and Karl, everyone’s always looking, every entrepreneur, in my opinion, you know, we should be looking down the road at, you know, what is our exit strategy, you know, as we’re leaving the gate, what is the plan here?

And so, maybe, each of you could speak to the role that IP, has played in exit strategies that you’ve been part of and in anything else with regard to that.


Yeah, I’ll take the first, kind of more general, and maybe you (Jay) could take the more detailed because you have direct experience. I wouldn’t say it’s critical in the exit, there are so many elements to an exit right, but, it is a value driver, for sure. Because there are so many things you have to do to survive, nevermind succeed, and then, success is not necessarily an exit, right. It could be a viable business and that is it. But to exit, either by M&A, or, god help us an IPO, there are many moving parts.

But, I think having, again, I go back to an early strategy having that early strategy so that you can raise enough money at the right valuations, so that you can get to the exit, and actually have equity as the entrepreneur, at the end of the day, these are critical elements that I think are very important, when it comes to IP to drive the value even before you get to an exit because as entrepreneurs we have to protect our equity, and even I, as an early-stage investor, I mean, I’m up here, in part, because I’m on the same side of the desk, quite often, because my money goes in so early that I have to think about dilution, I have to think about are we trying to raise another 10 million, or is it going to take a hundred million to get to that exit? So, yes, important at the exit point. But, I think critical is getting there.


I think for us, when the acquirer found out that we had IP in process, that we had a strategy, that gave us some credibility, early on, we also were doing the same thing as them, but differently, and they had patents that had been granted in the space. We were aware of them, we knew that we were not violating them, and it gave us a lot more confidence that we had already had IP filed to “open the kimono” a little more, to them, reveal. They were real cautious, they did not want specifics. But, in the conversations there would have been enough information they could have gleaned a sense of what we were doing. I was totally comfortable with those conversations because of the backstop of IP filing that we had and they did hire an independent entity to evaluate us versus what they had to ensure that there was no overlap, or, minimal overlap, and that came back true. So, they were more confident in their buying of our technology because of the documentation that we had. Otherwise, it would have been really hard to document our process, but it was there in the IP.


Ask a Question


  1. Unquestionably believe that which you said.
    Your favorite justification appeared to be on the internet the
    easiest factor to be mindful of. I say to
    you, I definitely get annoyed whilst other people think about concerns that they plainly do
    not recognise about. You controlled to hit the nail upon the top as
    smartly as outlined out the whole thing with no need
    side-effects , folks could take a signal. Will likely be again to get more.
    Thank you

  2. I visited several web sites but the audio quality for audio songs present at this site is really

  3. It’s awesome in support of me to have a web site, which is helpful designed for my
    know-how. thanks admin

  4. This article gives clear idea designed for the new viewers of blogging, that actually how to do blogging.

  5. I am curious to find out what blog system you have been working with?
    I’m experiencing some small security issues with my latest site and I would
    like to find something more risk-free. Do you have any recommendations?

  6. Hello! This is kind of off topic but I need some advice from an established blog.

    Is it very hard to set up your own blog? I’m not very techincal but I can figure things out pretty fast.
    I’m thinking about creating my own but I’m not sure where to begin.
    Do you have any tips or suggestions? Appreciate it

  7. My partner and I absolutely love your blog and find nearly all of your post’s to be
    precisely what I’m looking for. Would you offer guest writers to write
    content to suit your needs? I wouldn’t mind producing
    a post or elaborating on most of the subjects you
    write with regards to here. Again, awesome weblog!

  8. I think this is one of the most important information for me.

    And i am glad reading your article. But wanna remark on some general things, The site style is wonderful, the articles is really
    excellent : D. Good job, cheers

  9. Do you have a spam problem on this blog; I also am a blogger,
    and I was wanting to know your situation; we have created some nice methods and we are looking to trade techniques with other folks,
    please shoot me an email if interested.

  10. Hi there, just became alert to your blog through Google, and
    found that it is truly informative. I am gonna watch out for brussels.
    I will appreciate if you continue this in future. Numerous people will be
    benefited from your writing. Cheers!

  11. May I just say what a relief to uncover a person that truly understands what they’re discussing
    on the internet. You definitely understand how to bring an issue to light and
    make it important. More people really need to look at this and understand this side of the story.
    I can’t believe you are not more popular since you most certainly possess the gift.

  12. First of all I would like to say superb blog! I had a quick question which I’d
    like to ask if you do not mind. I was curious to find out
    how you center yourself and clear your mind prior to writing.
    I have had difficulty clearing my mind in getting
    my thoughts out. I do take pleasure in writing however
    it just seems like the first 10 to 15 minutes tend to
    be lost simply just trying to figure out how to begin. Any suggestions or
    tips? Many thanks!

  13. Simply desire to say your article is as surprising.
    The clearness in your post is simply nice and i can assume you’re an expert on this
    subject. Fine with your permission allow me to grab your feed to keep updated with forthcoming post.

    Thanks a million and please carry on the rewarding work.

  14. quest bars says:

    If you are going for most excellent contents like myself,
    just visit this website all the time as it presents feature contents, thanks

  15. tinyurl.com says:

    Hi, I think your blog might be having browser compatibility issues.
    When I look at your blog site in Safari, it looks fine but when opening in Internet
    Explorer, it has some overlapping. I just wanted
    to give you a quick heads up! Other then that, wonderful

  16. tinyurl.com says:

    I don’t even know how I ended up here, but I thought this post
    was good. I do not know who you are but definitely you’re going to a famous blogger if you aren’t already 😉 Cheers!

Leave a Reply

Your email address will not be published. Required fields are marked *