Intellectual Property Strategy As an Investment Lure

Originally Published MX November/December 2002

GOVERNMENTAL & LEGAL AFFAIRS

Intelligent patent management is critical to an emerging medical device company's business growth.

Barbara A. Wrigley

An intellectual property (IP) strategy and a sound patent protection plan are strong supports for CEOs of early-stage medical technology companies seeking additional sources of funding. In deciding whether or not to commit their money to a particular enterprise, investors typically consider such factors as the uniqueness of the technology (that is, how different from market precursors), the sustainable competitive advantage it promises (based on what the company has done to protect its intellectual property), and the exit strategy goal (merger or acquisition, initial public offering, or purchase by future investors).