Intellectual Property Valuations

Intellectual property (IP) valuation is part science, part art. The science is in the financial formulas that IP valuation analysts use to quantify the myriad of inputs that drive value. IP valuation analysts, regardless of which school they hail from, learn the same formulas. The art is in how the IP valuation analysts apply these formulas to generate a meaningful, statistically valid, and defensible value.  The art aspect of IP valuation is nothing a school or certification, no matter the pedigree, can teach.

Many of today’s IP valuation analysts simply do not have the backgrounds necessary for understanding the technology and legal rights associated with assets. This poses a problem since IP valuation is all about the details. Understanding the technical details correctly can mean significant differences in value and thus the strategy for unlocking that value. Without the experience to ask the pertinent and relevant questions, the chance of misstating value is high. Further, IP valuation analysts that do not have technical competence do not have the proper foundation to conform to appraisal standards.

At Pellegrino & Associates, we’re different. We offer a greater precision in our value opinions. We’re not generic business valuation analysts that dabble in intellectual property. Intellectual property valuation is all we do. While we have the requisite accounting, finance, and legal expertise in house to defend our work, our staff also includes engineers who have been through the product life cycle. We have run product businesses. We have received patents for our own ideas. With that experience, we bring you a perspective that a traditional valuation firm cannot match.

We have valued a variety of intellectual properties, from trademarks and patents to copyrights and trade secrets. Clients have used our valuations for a variety of purposes including tax, mergers, acquisitions, sales, litigation support, capital budgeting, and others.

Interested in learning more about intellectual property valuations? Contact us to see how we can help.