The Value of IP: Raising Capital With Patents As Collateral
April 07, 2023
The Importance of Intellectual Property
As the world has shifted to a digital age, the S&P 500 has seen intangible assets shift simultaneously to make up the majority of assets – currently account for 90%, compared to 1975 when intangible assets made up only 17% of S&P portfolio assets. As a result of the ubiquitous adoption of technology, asset-based lenders are recognizing the value of intellectual property and utilizing IP portfolios as collateral to secure loans. This provides businesses with a new source of capital, enabling them to harness the value of their IP to access funding.
Join us to explore this new avenue of capital and learn more about the necessary requirements to use intangible assets as loan collateral. We’ll discuss how to make the most of your IP portfolio and the potential opportunities it can offer.
Data form PitchBook Patent Research indicates that:
- 58% of VC funding from 2011 to 2020 went to startups with patents or patent applications
- Between 2011 and 2020 deal sizes for patent startups were 40 to 60% larger than those for nonpatent startups in a given year
- Across stages, patent companies raise capital at notable higher valuations than nonpatent companies
- Patent-seeking companies exit via the public markets at a rate more than five times higher than non-patent seeking companies (23.2% versus 4.0%)
Our panelists will discuss:
1. Raising capital without a highly dilutive round
2. No equity or minimal warrant ownership
3. Leveraging IP value to reduce cost of capital
4. Ability to raise more capital for longer runway
About the Speakers
Moderator – Keegan Caldwell
Dr. Caldwell is the founder and managing partner of the firm. Keegan has extensive and diverse experience with advising clients from innovation conception to 9 and 10-figure monetization events. Keegan works with start-ups and established entities to develop patent portfolios with as many options as possible for a return on investment. He has assisted clients to develop patent portfolios valued at more than $24 billion.
Keegan has significant boots-on-the-ground experience using IP to leverage equity funding, debt funding, and for use in strategic M&A. His experience assisting clients develop IP for private equity exits includes both 9 and 10 figure exit events. Keegan is regularly a featured speaker at MIT, on Wall Street, and at prominent IP thought leadership events focused on using intellectual property as an asset to accomplish business objectives.
Speaker – Arran Stewart
Arran Stewart is the Founder and CVO of Job.com. Arran is a driving force toward the future of work. The way that the future workforce will react to the hiring process will be very different. Arran is a global keynote speaker, thought leader in HR, TA and Staffing Tech, with a passion towards implementations of Blockchain, AI and ML within hiring industry.
Hiring is a journey, not transactional. The focus on the War on Talent has created a high churn, low loyalty labor force. The real war is not attraction but retention. With the use of AI, ML, Blockchain, SaaS and BaaS, Arran looks to reinvent the ‘process’ and deliver a new way of hiring. Unlocking the value of data to make better hiring decisions through validation and prediction.
Speaker – Jake Truen
Jake Truen is the Co-Founder and Managing Director at SOJA Ventures. Based in Miami, Florida, Jake has extensive experience in marketing and management that includes working for the Medina Company and is currently a partner of the Village Den, a fast-casual restaurant located in New York City.
Before becoming involved with the Village Den, Mr. Truen worked for the Medina Company, where he was part of a team responsible for managing Jennifer Lopez’s business activities. This included working on the production of the movie The Boy Next Door, as well as shows like American Idol and the American Music Awards. He also helped to present a successful three-year residency proposal for Lopez at Caesars Entertainment in Las Vegas, which remains one of the most successful residencies in the city’s history.
Speaker – Mark Fox
Mark Fox is a Co-Founder and Managing Partner at Ghost Tree. Before that, Mark joined PAAMCO Prisma in 2017 and was the Head of Apex Credit. Mark has spent his entire career as a principal investor in the credit markets. Before joining PAAMCO Prisma, he was a Senior Vice President in the Distressed and Restructuring Group at Bain Capital Credit.
There, he spent over 7 years investing in secondary distressed bank loans and bonds, rescue financings, DIPs, junior capital injections, and private capital solutions. In addition, he led many in-court and out-of-court restructuring processes on behalf of both the Performing Credit and Distressed groups within Bain.
Before Bain Capital Credit, Mark worked at Greywolf Capital, a special situations credit fund that invests across the credit spectrum and up and down the capital structure. Mark began his career at Bain Capital Credit in the Boston office working on the Performing Credit and Mezzanine Financing teams.
Speaker – Alex LePage
Alex LePage combines strategic & highly creative thought to drive innovation and growth. He is the Founder of MillerHill IP, a leading Intellectual Property consulting and valuation firm. His experience in strategic consulting, product strategy, data & analytics and go-to-market commercialization informs his application to IP valuation uniquely.
Alex’s work with MillerHill IP offers a unique experience across strategy consulting, SaaS technology, start-ups and growth companies.
Join us at Fairmont Miramar Hotel on June 23. Click below to register for the event.
CALDWELL is the go-to firm for high growth start-ups and early-stage technology companies. A modern law firm for cutting-edge solutions, CALDWELL has a proven and systematic approach for developing and enforcing IP portfolios that reap financial success, proven by an allowance rate of 99% on all patents prosecuted. The team excels at helping clients devise and execute programs to optimize the value of their companies. The Corporate team at CALDWELL has helped clients realize over $10 billion dollars. With more than 500 clients, 200 of which are venture backed, CALDWELL has been ranked the #1 fastest growing IP law firm on the Inc. 5000 for 3 years in a row.