Intellectual Property Value Creation and Monetization in Bankruptcy

La Jolla, CA (PRWEB) February 19, 2009

In a bankruptcy environment, intellectual property is often the last asset group to gain attention. Once the hard assets (i.e., A/R, inventory, equipment, real estate, etc.) are addressed, the focus then shifts to what’s left-intellectual property and intangible assets. The intangibles represent the biggest opportunity to generate substantial incremental value for the estate through the “value creation and monetization” (VCM) process.

Inventory and Triage: The initial step in the VCM process identifies the full extent of the intellectual property and intangible assets owned and/or operated by the debtor. This group of assets includes the obvious assets, such as trademarks, patents, copyrights and domain names. However, there are additional assets that are typically overlooked, ranging from software and databases, to licenses and creative materials. Intangible assets generally fall into three distinct areas: marketing- based assets, IT-based assets and technology-based assets:

Marketing Bundle:

Primary trademark

Corporate name and logo

Marketing umbrella

Sub-brand names

Core brand

Worldwide trademark registration


Secondary trademarks

Packaging design and copyrights

Trade dress


IT Bundle:

Enterprise solutions

Custom applications

Data warehouses

Master licenses

Source code


Data mining

Domain names/URLs

e-Commerce sites

Third party software tools

Credit/payment systems

Technical Bundle:

Key patents

Trade secrets


Packaging technology and sources

Shapes and sizes

Design technology

Proprietary test results

Plant and production design

Product specifications

Operating platforms

Once the assets are identified, it is important to triage the portfolio into the most logical bundles or groups. The bundling process develops a roadmap for categorizing the portfolio in a logical fashion for valuation purposes. From here, ownership of the assets is verified to confirm the debtor’s rights. Encumbrances on the assets can severely impact asset value and hamper the ability to exploit the assets in the marketplace. In sum, the inventory and triage process serves as the foundation of the VCM process.

Valuation and Value Creation: Once the assets are identified, properly categorized and ownership rights are determined, the value creation process commences. With intellectual property, multiple contexts of value can exist. Initially, the “as is/where is” value sets the floor value for the assets. However, and more importantly, the value creation proposition is what differentiates intellectual property from the debtors’ tangible asset counterparts. In other words, intellectual property presents the ability to leverage the assets into new opportunities. Whether via strategic licensing, joint venture, sale or other monetization scenario, intellectual property contains hidden value that, when properly exploited, can generate substantial returns for the debtor.

Monetization Process: Now that the assets are properly assessed, the “go to market” strategy must be developed. From a top-level perspective, intellectual property is by definition unique and few comparables exist in the marketplace. These assets require a strategic plan to effectively communicate the inherent value opportunities. Also, targeted buyers typically need more information about the assets and the opportunities than is offered through the static auction platform. Moreover, static auctions market the auction, and not the specific assets. To maximize value through the direct marketing campaign, the assets must be creatively packaged and communicated to an expanded universe of potential buyers. Direct marketers must possess a vast network of resources to reach a broader audience. While direct competitors may be the obvious targets, the expanded universe of potential buyers should include financial and strategic buyers. Additionally, buyers can be targeted through specific intellectual property and other industry resources such as:

International Trademark Association (INTA)

Licensing Executives Society (LES and LESI)

Licensing Industry Merchandisers’ Association (LIMA)

American Bankruptcy Institute (ABI)

Turnaround Management Association (TMA)

Association of Insolvency and Restructuring Advisors (AIRA)

Commercial Finance Association (CFA)

The marketing of intellectual property is about telling a story, and this can only be accomplished through one-on-one interaction. Significant discussion is required during the due diligence phase. Buyers will need detailed information and will have a multitude of questions. This is the most important element of the selling process- identifying a need and creating a value proposition for the buyer.

Value Extraction Strategies: Extracting value from intellectual property and intangible assets can take a number of different forms-and requires marketing to a number of different types of potential buyers-these end-users typically include strategic buyers, financial investors, intellectual property owners and agglomerators, as well as competitors and professional IP management companies. This network includes people culled from our proprietary data base of 13,000+ transactions, as well as other proprietary and public sources. Successful strategies that we have pursued in specific cases include the following:

Sale of technology at a low price in order to recoup R&D tax credits at the federal level
Outright sale
Creation of an IP holding company
Partial sale of some assets with the balance being held by a successor IP management company
Dutch auction of assets to a variety of purchasers
Development of a licensing and brand extension strategy packaged with the assets for sale to an IP specialist
Sale of the assets to an offshore holding company, for internal use or license into overseas markets
Sale and leaseback of the IP assets
Securitization of the assets to generate working capital for a successful reorganization.

Each case is different and each value extraction strategy is unique-because all intellectual property by its very definition is unique, and the markets for specific intangible assets and IP changes on a relatively rapid basis. One final thought before looking at specific case studies: extracting maximum value from intellectual property is a five step process.

1. Identify all of the intangible assets and IP;

2. Understand all of the alternatives for value extraction;

3. Accurately value each asset or bundle of assets to establish priorities;

4. Design an overall strategy for the monetization process; and,

5. Manage the process early and intensively, using IP professionals.


ICAP Ocean Tomo IP Think Tank to Host Leadership Panel: What Makes Intellectual Property an Attractive Investment

Chicago, IL (Vocus) February 19, 2010

ICAP Ocean Tomo, the intellectual property brokerage division of ICAP plc (IAP.L), today announced one of four program tracks for the upcoming IP Think Tank event on March 24-25, 2010, in San Francisco, California. The tracks are focused on exploring the next generation of intellectual property (IP) development.

IP-based investing is now widespread, states Dean Becker of ICAP Ocean Tomo. This track aims to provide an update on the new investment opportunities that are gaining traction in todays recovering economy.

The Investment in IP track will follow ICAP Ocean Tomos recently-developed IP Think Tank conference model, beginning with panelist presentations on subject matter, including mark-to-market valuation, royalty securitization, and hedging IP-based investing. The program then continues with a collaborative panel and audience discussion, wrapping up on day two with a presentation of the session by the track moderator.

Moderating the Investment in IP track is Bruce Berman, CEO of Brody Berman Associates, and editor of From Assets to Profits Competing for IP Value & Return. ICAP Ocean Tomo has gathered an excellent group of thought leaders for this tracks panel, states Berman. The level of discourse for this track is going to be very high.

Other IP Think Tank program track topics include: The Growing Intangible Asset Marketplace; Developing a National Intellectual Property Economic Infrastructure; and IP Nation Economic Development through IP.

To register to attend the ICAP Ocean Tomo IP Think Tank & Auction, please visit, The ICAP Ocean Tomo IP Think Tank Conference is not affiliated with the blog IP Think Tank managed by the IP Strategy firm, Duncan Bucknell Company.

About ICAP Ocean Tomo LLC

ICAP Ocean Tomo is the intellectual property brokerage division of ICAP.

About ICAP

ICAP is the world’s premier interdealer broker and provider of post trade services. The Group matches buyers and sellers in the wholesale markets in interest rates, credit, commodities, foreign exchange, emerging markets, equities and equity derivatives through voice and electronic networks. ICAP is also the source of global market information and research for professionals in the international financial markets. ICAP plc was added to the FTSE 100 Index on 30 June 2006. For more information go to


HARP 2. Refinance Software Finally Assists Severely Underwater Property owners

Las Vegas, Nevada (PRWEB) August 08, 2012

Countrywide HARP Home loan Loan company Network, HARP Approval (, responds to a modern report by the FHFA on an enhance in HARP refinance quantity.


The most current Federal Housing Finance Company (FHFA) regular monthly Refinance Report printed August 7, 2012, exhibits HARP refinances for Fannie Mae and Freddie Mac home loans with unfavorable equity greater than a hundred twenty five% mortgage-to-benefit elevated from 2,954 in Could to fifty three,758 in June.


According to the FHFA, The continued enhance in HARP quantity is attributed to file-low mortgage prices and plan enhancements declared final tumble which includes removal of the bank loan-to-price (LTV) ceiling for borrowers who refinance into set-rate&#13

loans and the elimination or lowering of fees for particular borrowers.


“The normal borrower who refinanced lowered their interest fee by about 1.5 proportion details. On a $ 200,000 mortgage, that translates into preserving about $ 2,900 in curiosity for the duration of the following twelve months, describes Frank Nothaft, Freddie Mac vice president and chief economist.


Click on Below to check out HARP Eligibility


Between other enhancements to the Property Affordable Refinance Program that went into effect, loan providers turned able to securitize HARP loans with LTV ratios greater than a hundred twenty five % beginning June 1, 2012.

News for Property owners Achieving U Community is Now in twenty States Offering Inexpensive Authorized Representation for Struggling Property owners Not Capable to Make Their Mortgage loan Payments

Miami, FL (PRWEB) Could 11, 2011

Anyone denied a bank loan modification or can not get by way of to your financial institution, aid is on the way.


Reaching U Community is a 501c3 non-income group that is linked to Flexibility Authorized Programs by a lengthy time services contract that provides low value authorized illustration to house owners experiencing foreclosures. Not like most pre-paid out lawful providers, Liberty Legal Plans specializes on supplying users with instant lawful illustration. Most home owners facing foreclosures nowadays need illustration but cannot pay for to retain the services of an attorney. Reaching U Network assists battling home owners by offering different cost-effective payment possibilities for these who qualify. In excessive instances, Achieving U Network, with the support of Freedom Lawful Programs, will at times offer free of charge representation with a network legal professional.


Achieving U Community surveys homeowners about their authorized alternatives and also raises recognition thru television, marketing and advertising strategies, and neighborhood workshops.


Members pay out a $ 15.00 per thirty day period membership price to accessibility reasonably priced legal representation provided by the Independence Authorized Network of attorneys. Members’ price is tax deductible and is used to fund authorized illustration for homeowners with severe hardships these kinds of as unemployment.


Network attorneys with Liberty Authorized Ideas operate beneath a established regular monthly fee and never ever an up entrance retainer price. The month to month price is considerably reduced than what most lawyers cost for providers provided. Homeowners will not sacrifice the quality of provider simply because the community is monitored and managed by Flexibility Authorized Programs which can make buyer support precedence amount one particular.


Achieving U Network has joined forces with Liberty Legal Ideas to focus on the existing epidemic of foreclosures by offering forensic and securitization audits to home homeowners searching to keep in their houses. These audits give a element insight relating to fraud, TILA, HOPA, and securitization violations. With the guidance of the person lawyer illustration these audits will support open up legal communications among loan companies and property owners surpassing any mortgage modification process accessible these days.


This frustrating method is done a hundred% beneath the umbrella of a neighborhood network legal professional in the homeowners state. Every legal professional has passed arduous skills in buy to sign up for the network together with the information on how to cease foreclosure.


five reasons why homeowners should obstacle their mortgage lender if facing foreclosure.


one. If the home loan was opened in between 1999 and 2009, the chances it contains fraud or predatory lending violations is 80%.&#13

2. How to locate out if the entity you are having to pay your home loan to, has any correct to collect?&#13

three. Only four% of bank loan modifications are approved.&#thirteen

4. Court ruling in Arizona and Massachusetts has wiped out several home loan balances these states are just a few of the numerous just lately on the information.&#thirteen

five. Challenging a house loan, in court docket with an lawyer, can quit a foreclosures.


Anyone can make a donation and support. Money will go towards supporting battling property owners that are unable to afford lawful illustration. Below is their website


Right here is the amount to phone if somebody is experiencing foreclosures, has been denied a bank loan modification, or is slipping powering on their mortgage payments, phone 866-514-4636 or check out for aid.


The worst factor to do is hold out or do practically nothing, creditors have lawyers on their aspect, no one must encounter foreclosure on your own.