Latest insights from our experts
Audit your IP to obtain finance
Tozers have developed an IP Audit for businesses looking to use their intellectual property to help obtain lending. The audit has two objectives:
- prove certainty of cash flow to lenders
- value IP to help secure more finance
Demonstrate cash flow
If a business is prevented from using its name or selling products this can be devastating. We frequently hear from people who have poured their life savings and years of their time into a business, only to receive infringement letters threatening legal action when they become successful. Most have to stop using the name they have worked hard to develop, setting them back years.
Lenders don’t want that uncertainty. Showing ownership of intellectual property rights is a vital part of the picture for them but it can be overlooked by borrowers. It’s just as important as having a market for the product, reliable suppliers and capable staff – all of which are all worth little without the right to sell the product.
Demonstrate IP assets
Some businesses still don’t realise that their trade marks, designs, and other IP rights are worth as much as their machinery, land or stock. IP rights can be sold, licenced to other business for limited use by them or used as collateral to generate additional income or secure finance. Most businesses probably have IP assets doing nothing which could be used profitably.
Our IP Audit will:
- identify the rights a business owns and the weaknesses it must address
- prove to lenders that the business has the IP it needs
- give the business the evidence of IP assets needed to obtain more lending
Speak to our IP team about how to grow your business using IP.