Intellectual Property (Trade Mark, Patent, Copyright, etc.) trading is thought to be transacted through a demand and supply model.During these processes, WTOIP provides services as such below:
To verify the IP commodities for validity, which includes:
1) legal procedures of the application
2) legitimate grant from the official departments
3) Clearly defined rights to the commodities
4) Period of validity
5) Maintenance fee on schedule
6) Before the deal is done, each verification would be proceeded one more time to ensure the greatest interest of both sides.
Handling official procedures for transaction on behalf of the clients, including collections of any supporting documents for the transaction.
Providing third-party escrow services:
1) Payment collection
2) Down payment delivering
Providing management and monitoring services for the transaction and its security:
1) Examine contracts for both sides, ensuring their legitimate rights and duties to carry for the transactions.
2) Precisely and tightly follow up the official process, ensuring that the feedbacks and official notice would be given to the clients immediately.
IP Brokerage Services:
One-on-one services of commodities recommendation, matching, negotiation, and coupling.
Q & A
Q: What is Intellectual Property?A: Intellectual property (IP) is a legal concept which refers to creations of the mind for which exclusive rights are recognized. Under intellectual property law, owners are granted certain exclusive rights to a variety of intangible assets, such as artistic works, discoveries and inventions, etc. Common types of intellectual property rights include copyright, trademark and patent.
Q: What is IP trading?A: IP trading is to transfer the ownership of Intellectual Property Rights (IPRs), such as patent, trademark and copyright, etc. from one person or entity to another by getting IPRs in exchange from the buyer through negotiations.
Q: In what ways can intellectual property be traded?A: Intellectual property can be traded by Bidding Transfer, Transfer Agreement or other ways in line with national laws and regulations
Q: What are Bidding Transfer and Transfer Agreement?A: Bidding Transfer is a process of buying and selling IPRs by offering transferees up for bid, taking bids, and then selling IPRs to the highest bidder. It is used by various economic niche for determining the demand and hence the value of IPRs. Bidding performs in various ways. In China, some domestic IP trading organizations have gradually worked out a set of effective competitive bidding models in the process of sales of business, including ‘Evaluation Model’, ‘Once for all Bidding’, ‘Time-limited Bidding’, ‘Time-unlimited Bidding’ and ‘Online Bidding’. These models not only adapt to the characteristics and requirements of IP transactions, but also give full scope to the dynamics of market’s price discovery for determining the ultimate transferee. Transfer Agreement is a contract reached between two parties in IP transaction in which the parties agree to the terms that will govern future transactions.
Q: How to precede patent technology transfer?A: Once your patent is registered with the State Intellectual Property Office, your patent invention will be recognized by the State and obtain protection as registered patent in the country of registration. However, obviously there will still be a long way to go from patent technology transfer to patent industrialization. It has turned out that patent may eventually become invalid or cannot be successfully transferred when information is published in unappropriated way.
Q: How many ways to profit from your patent transfer?A: There are several common ways to profit from your patent transfer:
I) Patent Technology Transaction To uncover the presentation opportunity to maximize your patent information announcement and reach to the public, including patent type, invention content, technical product features and your personal contact information, etc. by participating in the patent exhibitions organized by national authorities, for example, the exhibitions held in Beijing National Patent Technology Exhibition Trade Center so as to maximize the visibility of patent technologies to attract the attentions from technology vendors and investors.
II) Patent Cooperation Patent technology is an important part of technology assets. It can be used as a financial asset for your business incorporation and the share capital injection and increment.
III) Self-Transfer By setting up your own company or plant to commercialize and industrialize your patent. This self-transfer requires that Patentees have sufficient economic strength to carry out the transfer on their own, and have extensive experiences in business management and marketing.
IP Valuation Guide
IP ValuationWTOIP has adopted the State IP Office’s intangible asset valuation approaches, and based on the valuation experts’ specialized knowledge to form a professional opinion in such valuation by taking into consideration the legal value, patent’s technology superiority, market value, and investment return. Such professional and competent valuation report has given the government authorities, industrial parks, corporations and investors both scientific and excellent analysis for their strategic decision making processes to be taken on the assets.
Valuation Purposes1. For Capital Increment: To enhance corporation influence by using intangible value as the share capital injection and increment.
2. Negotiations to sell or license IP rights : To provide reference to know the value of IP and intangibles in business transactions, negotiating the agreement to make sure the parties are engaging in a good deal to further enhance the intangibles’ trading and licensing.
3. Security Collateralization To provide reference on using Valuation of IP and intangibles as security for bank loans.
4. Realizing the value of your intangibles: To know the value of your intangibles, strengthening your competitiveness.
Our Strengths1. Credibility First & Government-recognized.
2. Meeting Demand & Ensuring Customer Satisfaction.
3. A full range of services offered.
In May 2013, a company was set up by two parties whereas the investor provided the funding of RMB200 million while the other firm provided their technology as intangible assets as the capital injection under WTOIP’s suggestion. The total value of 12 Utilities and 6 Inventions as whole of the intangible assets are worth about RMB300 million and at the end both sides agreed on the total capital of RMB500 million, and the new firm was successfully set up with 60% shares held by the said company.
Highlights & Comments:IP’s intangible asset value can be used as a financial asset similar to currency, real estate, equipment and plants etc. for the share capital injection and increment, and the maximum value can be 70% of such intangible value as capital. The capital and funding pressure can be alleviated by using this approach of intangible asset valuation in order to obtain higher sharing of profits and dividend and a bigger say in decision-making process. “Asset Valuation Report” can provide good reference on the valuation of IP as intangible asset, and through Audit Company’s further assessment such value can then be used as registered share capital and security for loan application.
IP Finance & Monetization
Securitization of Intellectual Property
Securitization of Intellectual Property Securitization of Intellectual Property (IPS) is a form of financing by issuing IP Asset-backed securities; it is supported by the future return, which could be licensing fees or franchise payment, etc. of the IP assets including the expected return and the guaranteed return designated by the contract. The very first case of IPS practice originated from the Western music industry. Starting from securitizing Music Copyright, over this century people in the media and entertainment industries now expend the coverage even to video games, movies, leisure entertainment, performing arts, theme parks, etc. as such cultural assets are highly bound to IP. Others such as fashion brands, patents of medical products, semiconductor chips, or even indemnity of lawsuits are also highly quantifiable to measure their corresponding IPS. IPS’s share within the whole asset security market is small, yet it shows a gigantic gesture of convincing us to believe its development potential.
In 1997, globally IPS has an annual turnover of $3.8 billion (USD), yet in 2000 it reached its new zenith at around $11.37 billion (USD). Entering the era of knowledge economy, the ratio of intangible assets, within enterprise’s assets, is ascending from 20 per cent, which is when we compared to the past 20 years, to approximately 70 per cent. This explicitly indicates a trend of the intellectual property, being valued as assets, superseded the tangible assets to become enterprises’ kernel of competitiveness in which it requires elite enterprises to weight-bear its financing tactics shifting from the tangible to the intangible, yet, intellectual.
IPS has actually been a manifest proof of the globe embracing this historical trend, and it creates an innovative financing path for IP right holders. Intellectual property is being perfectly integrated into the financial capital. In other words, it realizes a sustainable circle of business in which when ideas, new technologies, and innovations are created, they could actually be both the costs added and the solutions to your funding. With IP businesses growing bigger in the global and regional economy, and with its strengthened commercial operation, intellectual property would become an even more sustainable fuel for IPS future development. The vision to this is that IPS would become fruitful and widespread, and seize its throne in the arena of asset-backed security in the near future.
Intellectual Property Escrow
Intellectual Property Escrow Intellectual Property Escrow is a relatively new service which may offer an extra measure of security for your IP. Acting essentially as a security guard for your valuable intellectual property, an escrow arrangement is made under contractual provisions between clients and an independent escrow agent, whereby the trusted agent maintains or supports the IP portfolio management on behalf of the clients. These include IP consultation, registration applications, proper use of the IPRs, IP transfer or licensing, IP strategic plans and security collateralization, IP monetization, IP protection & avoiding infringement, etc. on the fulfillment of contractually agreed conditions by the parties.
IP Escrow is used to help firms perform well in their core competencies and mitigate shortage of skill or expertise in their IP management where they can outsource. It not only improves the comprehensive management of their intangible assets, but also reduces capital and operating expenses and the need to hire and train specialized staff. IP Escrow can be classified into ‘Whole Escrow’ and ‘Partial Escrow’.
Whole Escrow service offers a package of schemes which fully cover the management of all intangible assets of the clients, whilst Partial Escrow is suggested to address the fulfilment of IP protection case by case according to clients’ periodic needs. The biggest difference between IP Escrow and traditional IP Management Contract lies in the fact that IP Escrow emphasizes particularly on developing IP strategic plans, IP regime, execution initiatives that fit in with the clients’ needs, collecting and providing the information on intangibles change in value so as to unleashing at the utmost the hidden financial potential of their intangible assets.
As we know, Intellectual Property protection is the core competitive power for future national development. To solve the talents shortage with regard to IPRs in China and progress IP Portfolio Management capabilities, WTOIP Institute provides a series of IP training program services targeted toward public, private and civil society professionals who wish to deepen their knowledge in IP planning for their own growth or for their corporations’ operation and sustainable development.
Taught by government representatives, distinguished academics and practitioners from home and abroad, the course integrates the international legal framework and innovative concept into cultivation of talents in IP industry and corporation operation in China, equipping you with insight into current and future challenges in the field of IP.
Features:A Platform of training and dispatching talents in IPRs and law affairs
Service provider of complete IP portfolio management solutions
Professional business consultant on corporate operating earnings and risk control
IP Training ProgramsIP Planner Certification
Any individuals who have attended the course and passed examination organized by WTOIP institute will obtain IP Planner Certificate granted by employment guidance center of Ministry of Human Resources and Social Security of P.R. China
Tailor-made In-house Training
WTOIP offers in-house training for organizations wishing to undergo a tailor-made training program specific to their business requirements. We are happy to discuss your individual or business needs and develop a comprehensive program proposal of your preference.
Classic Courses of Tailor-made In-house Training delivered by WTOIP:
- Enterprise IP Portfolio Management
- Trade Secret Management - Corporate Patent Strategy
- Intellectual Property and IPO Management
- Domestic Patents and their Commercial Value
- Branding and Intellectual Property Protection
Commercial Exploitation of Intellectual Property Rights
Commercial exploitation of intellectual property rights is an important prerequisite for the innovative company to achieve positive return on investment, obtain IP Finance and facilitate the industrial transformation, upgrading and commercial collaboration. WTOIP has adopted the State IP Office’s intangible asset valuation approaches and integrated international intangible asset valuation approaches to form a professional analysis on the intangibles. Such professional and competent report provides clients with the best commercial exploitation strategy on intellectual property rights based on their own IP strategic planning. The strategy for making commercial gain from IP will help in various ways, including:
- To provide precise data and analysis for corporation’s research & development and marketing strategy by collecting competitors’ or industrial patent technology information.
- To provide successful IP protection strategy based on a detailed analysis on project value by taking into consideration the technology superiority, legal risk and market return, etc. to avert project development risk.
- To keep the core value of investment and M & A to avoid the intangible asset loss or reduce the costs of IP M & A and collaborations.
- To explore new IP income approach and to ensure financial growth.
WTOIP provides the services as follows:1. Patent Search and Analysis
2. IP Consultant
3. IP Due Diligence
4. Enterprise IP Standards Implementation
5. IP Trading Product Packaging
6.Enterprise IP Diagnostic Report
7.IP Value Analysis Report
SinoAccess is a new service to our members recently launched by WTOIP. It aims at offering on-line and off-line promotions, International Brand Risk Management & Strategic Planning, Overseas Industry Information Updates, Overseas Commercialization Experiments and Valuation Consultancy, Local and International Policies & Legal Consultancy, one-on-one brokerage, and other tailor-made services to provide an effective way for Chinese enterprises to develop their overseas markets.
On-line promotions on international website1. The Independent Third Party Credibility Check
2. International Personalized Website Building
3.Keyword Optimization Ranking on international website
Off-line promotions on international website1. Promotions at Overseas Exhibitions
2. Promotions for the Global buyers
3. International Business Salon & Overseas Economic and Trade Exchange
4. WTOIP Promotions on overseas Media
Professional Services (IP & Legal Affairs)1. Non tailor-made Overseas Industry Analysis Report ( A particular country only)
2. International Brand Risk Management & Strategic Planning
3. Commercialization Experiments & Valuation Consultancy
4. Agent-based International Trade Negotiations
Other Integrated Services:1. Overseas Industry Information Updates
2. SinoAccess Training Program for Overseas Business
3. Local and International Policies & Legal Consultancy
4. Other One-on-one Tailor-made Services
Zhong Wai Bao
Zhong Wai Bao is a value-added consulting service for Intellectual Property (IP) investment provided by WTOIP. Clients would be offered with professional consultation upon their IP program, business recommendation, registration/ application/ filing, asset escrow, authorization, and transaction, etc.