{"id":32163,"date":"2021-06-25T15:10:23","date_gmt":"2021-06-25T09:40:23","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=32163"},"modified":"2021-06-25T15:29:51","modified_gmt":"2021-06-25T09:59:51","slug":"how-patenting-can-help-start-ups-to-get-required-funding","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/how-patenting-can-help-start-ups-to-get-required-funding\/","title":{"rendered":"How Patenting Can Help Start-Ups To Get Required Funding?"},"content":{"rendered":"\n<p class=\"has-drop-cap\">Fundraising is certainly one of the most challenging phases in a\nstart-up\u2019s business journey. Even the most aspiring business entrant has to\nclear countless obstacles before availing of required funding. In a nutshell,\nalmost all start-ups have issues in procuring funds from available financial\nsources. So does that mean that start-ups are unable to counter initial fiscal\ncrunches? Well, the answer is No! Patenting can be a good strategy for attracting\na handful of investors, including the mainstream ones.&nbsp; But, unlike, trademark and copyright, obtaining\npatent is somewhat difficult both in terms of filing and compliances. This\nwrite-up explains why tech-based starts-up should harness optimal IP strategies\nto get the required funding. <\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/how-patenting-can-help-start-ups-to-get-required-funding\/#Why_patenting_is_an_enticing_proposition_for_start-ups_and_investors\" >Why patenting is an enticing proposition for start-ups and\ninvestors?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/how-patenting-can-help-start-ups-to-get-required-funding\/#Why_Starts-ups_should_prefer_Provisional_Patenting_to_obtain_required_funding\" >Why Starts-ups should prefer Provisional Patenting to\nobtain required funding?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/how-patenting-can-help-start-ups-to-get-required-funding\/#Pro_tips_for_creating_a_well-crafted_provisional_patent_application\" >Pro tips for creating a\nwell-crafted provisional patent application<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/how-patenting-can-help-start-ups-to-get-required-funding\/#Viable_steps_to_outline_a_tailored_IP_protection_strategy\" >Viable steps to outline a tailored IP protection strategy<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/how-patenting-can-help-start-ups-to-get-required-funding\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Why_patenting_is_an_enticing_proposition_for_start-ups_and_investors\"><\/span>Why patenting is an enticing proposition for start-ups and\ninvestors? <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>A patentable asset has the ability to churn out consistent and prolong royalty for the organization. And apart from underpinning a stable revenue stream, the patent is also capable of ensuring tremendous organizational growth. \u00a0Moreover, the <a href=\"https:\/\/corpbiz.io\/patent-registration\"><strong>patent registration<\/strong><\/a><strong> <\/strong>also attracts valuable investors because of its ability to make a significant difference from a marketing standpoint. Start-ups seeking initial investment can ask their key members to draw an effective IP strategy to procure required funding. <\/p>\n\n\n\n<p>Sadly, Patent is hard to come by owing to its tedious and costly\nfiling process. Most start-ups grapple to cope up with prerequisites for\nobtaining the new patent. This brings us to another viable and convenient alternative\ncalled \u201cProvisional Patenting\u201d. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Why_Starts-ups_should_prefer_Provisional_Patenting_to_obtain_required_funding\"><\/span>Why Starts-ups should prefer Provisional Patenting to\nobtain required funding? <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Historically, the patent is perceived\nas a way to outrank the counterparts offering direct rivalry. Because patent\nlawsuits are inherently more costly, litigation would not be a practical option\nfor those having a poor fiscal backup. <\/p>\n\n\n\n<p>Provisional patenting is cheap and\nprovides much-needed protection to the invention (for 1 year to be specific). A\nwell-crafted provisional patent application is more likely to offer\nbetter value for the start-ups. <\/p>\n\n\n\n<p>Investors might be less reluctant to\naffordable patenting options like provisional patent applications. Given this, the\ninvestor may prefer a provisional patent application because of its ability to\npostpone the final patenting decision for a year. This timeframe will be sufficient\nfor an investor to determine the success rate of the non-provisional utility\npatent.<\/p>\n\n\n\n<p>Thus; start-ups must pay extra\nattention in determining what to safeguard from a market viewpoint. It is\nbecause everything is not patentable. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Pro_tips_for_creating_a_well-crafted_provisional_patent_application\"><\/span>Pro tips for creating a\nwell-crafted provisional patent application <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong>Here are some pro tips for writing effective provisional patent applications which further help you avail of required funding. <\/strong><\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter is-resized\"><img decoding=\"async\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/06\/how-patenting-can-help-startups-e1624612934581.png\" alt=\"provisional patent applications\" class=\"wp-image-32165\" width=\"501\" height=\"422\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/06\/how-patenting-can-help-startups-e1624612934581.png 1000w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/06\/how-patenting-can-help-startups-e1624612934581-300x253.png 300w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/06\/how-patenting-can-help-startups-e1624612934581-768x647.png 768w\" sizes=\"(max-width: 501px) 100vw, 501px\" \/><\/figure><\/div>\n\n\n\n<h3 class=\"wp-block-heading\">Analyze the market<\/h3>\n\n\n\n<p>Delve deeper into your market niche\nto identify the degree of competition. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Jot down the important phases of your invention<\/h3>\n\n\n\n<p>From design scheme to functional aspects, here you need to brief out everything about your invention. It\u2019s really important for you to know every minuscule of details of your invention before you rushed out to file the said application. Covering every aspect that plays a vital role in the creation of the invention will eventually ease out the discrepancies in the validation phase. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Understand your technology <\/h3>\n\n\n\n<p>This can be of huge importance, particularly if you are involved\nwith something that is entirely unique and ground-breaking. Since this info is\npractical, it renders your IP value and credibility. The insights you avail\ncould let you safeguard the minute\u2019s details. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Build a prototype<\/h3>\n\n\n\n<p>Find out what works and what does not. You may discover\nattributes of your technology that are useless for the overall vision, but\ncould be patentable and act as a source of revenue. Make sure to list down\nevery component. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Includes as many as schematics supporting your invention<\/h3>\n\n\n\n<p>Schematics embrace clarity, even when it comes to complicated invention.\nMake sure to add them in a sensible order to ensure better lucidity for\ninspection purposes. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Look out for the potentially patentable processes <\/h3>\n\n\n\n<p>Are you leveraging some processes or methods that are unique and time-saver? \u2013 Probably they could be patented. But to ensure that they are patentable or not, you would require obtaining professional help. Consider connecting with CorpBiz\u2019s professional in case you have some skepticism in this regard. <\/p>\n\n\n\n<p>Now let\u2019s talk about the <strong>IP protection<\/strong><sup><a href=\"https:\/\/www.wipo.int\/about-ip\/en\/\"><strong>[1]<\/strong><\/a><\/sup> strategy which also plays a vital role in the start-up\u2019s fundraising campaign<\/p>\n\n\n\n<p>Patent strictly favours the inventive attribute and that is why it is hard to come by. Knowing its applicability could give you a clear picture of what is patentable and what is not. However, it could be only possible if you have a sound IP protection strategy in place. The section below can let you outline an optimal IP protection strategy for your start-up.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Viable_steps_to_outline_a_tailored_IP_protection_strategy\"><\/span>Viable steps to outline a tailored IP protection strategy<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The section below will let you outline an optimal IP protection strategy which is also beneficial from fundraising standpoint. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Assess your industry as well as vertical<\/strong><\/h3>\n\n\n\n<p>Go through the prevailing patent stats in your niches. The applicability of the patent is limited as it is not available to all industry verticals. For example, Biotech firms are the primary contender for patent protection because every new drug they developed seeks to patent to ensure competitive advantage. Increase the scope of your assessment and get deeper into your vertical to get a better picture. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Examine your competition<\/strong><\/h3>\n\n\n\n<p>Do\nyour rivals have a wide portfolio of&nbsp;patents? Then you should consider\nfiling some applications. By determining what type of IP strategies are being\nutilized by your rival, you will be able to find a viable path to get started\nwith your IP processes.&nbsp; Harnessing a\ngood portfolio of patents is not only good for your growth but is also\nprofitable when it comes to attracting investors to procure required funding.\nIt\u2019s good to have as much as a patent at your disposal to maintain the\ncompetitive edge. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Try identifying the prevailing trends of potential investors<\/h3>\n\n\n\n<p>Delve deeper into the investment portfolio of some of your chosen investors. If possible, identify their preference criteria. If you see that most of them are favouring firms with ample patent protection, then you must act accordingly, i.e. to assess your patentability options.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Search for Patents <\/h3>\n\n\n\n<p>Lastly,\nsearch for patents mentioned in your application via patent&nbsp;databases.&nbsp;The\nidea is to check the legality of your invention and see if it adheres to the\nunderlying conditions mentioned by the respective bylaws. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>After following the aforementioned steps, you will surely get a clear picture regarding the feasibility of your patent both in terms of competition and legality. Getting a patent isn\u2019t going to be an easy journey considering the complications involved in the process. However, if you opt to stay committed to your company\u2019s objective and avail precise expertise then there will be no stopping for you. And once you get the patent, your journey of procuring required funding would become more seamless.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/landmark-judgement-on-patent-in-india\/\">Learn about the Landmark judgements on Patent in India\n<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Fundraising is certainly one of the most challenging phases in a start-up\u2019s business journey. Even the most aspiring business entrant has to clear countless obstacles before availing of required funding. In a nutshell, almost all start-ups have issues in procuring funds from available financial sources. So does that mean that start-ups are unable to counter [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":32171,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[282],"tags":[1831],"acf":{"service_id":"20"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":2798,"readingTime":4,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/32163"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=32163"}],"version-history":[{"count":19,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/32163\/revisions"}],"predecessor-version":[{"id":32187,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/32163\/revisions\/32187"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/32171"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=32163"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=32163"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=32163"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}