Patent law changes alter entrepreneurs’ planning:
This is a nice article by Laura Baverman about patents and how they needed to be integrated into the business plan and entrepreneurs’ strategy. Since the US is now first-to-file, inventors must get their foot in the proverbial patent door early, often with a provisional patent while the details are being worked out.
This article also slips in the key provisions related to the laws and fees that were enacted in March of 2013.
Although the fees have all been dramatically increased, especially the follow-on maintenance fees, there is actually a micro-entity option that is only 25% of the full fee structure for large entities. (To qualify as micro, you must not have a high income and not have too many patents in your name.)
There are a few things that are are perfectly touched on in such a short article. There’s a quick look at the staging process to protect the invention without bankrupting the small inventor. There’s a side story about the great use of a business incubator for a specific company, EnerLeap, the next-best Lithium battery.
There’s the indication of how IP must be specifically budgeted into the business plan. Your business plan must have the budget for IP, it must have the timing for IP expenses (patent, TM, Lawyer, R&D, engineering, etc.), and it must accommodate contingencies for litigation.
Of course, you still want to include the high margins and royalties from licensing in your income stream, you simply need to demonstrate that you have a sound plan for getting to that point.
Great article Laura!
Check out the Patent Primer 2.0, part of the Perpetual Innovation(tm) series, by Hall and Hinkelman (2013) at: http://www.lulu.com/spotlight/SBPlan … or … Kindle eBook at: www.TinyURL.com/IPPrimer2