Berkonomics

DECEMBER 20, 2018

Since I am a proponent of using equity as a tool and he is so much opposed, this week it is his turn to make the case. So here goes: How would I find companies willing to license my intellectual property or to invest in a royalty stream from licenses? Investment banker? I have the weeks to follow to make mine. Do it myself?

IP 136

IP Product Equity Tool 136

Berkonomics

DECEMBER 20, 2018

Since I am a proponent of using equity as a tool and he is so much opposed, this week it is his turn to make the case. So here goes: How would I find companies willing to license my intellectual property or to invest in a royalty stream from licenses? Investment banker? I have the weeks to follow to make mine. Do it myself?

IP 120

IP Product Equity Tool 120

Startup Professionals Musings

JUNE 2, 2013

People with money to invest have choices. Venture investing is often mentioned as the most sexy form of wealth creation, but it’s also recognized as one of riskiest. Angels expect at least a working prototype and a hint of market acceptance (traction) before investing. But patents and other intellectual property only go so far.

Invest 107

Invest Startup Venture Capital Ideas 107

Startup Professionals Musings

APRIL 8, 2015

These terms quantify how fast money is being spent, and how long the business can survive before another round of investments is required. The allocation of shares among the founders, and the number and size of outside investments, will tells volumes about the health, stability, and management of the business.

Technical Review 103

Technical Review Invest Startup Patents 103

socalTECH

DECEMBER 12, 2011

San Diego-based Qualcomm has made another investment in femtocell and picocell technology developer ip.access , as part of a new round of funding. According to ip.access, it raised $15M from investors Amadeus Capital Partners, Cisco, Intel Capital, Qualcomm, Rothschild & Cie Gestion, Scottish Equity Partners and TE Connectivity.

San Diego 145

San Diego Patents Equity Capital 145

Startup Professionals Musings

MAY 22, 2020

These terms quantify how fast money is being spent, and how long the business can survive before another round of investments is required. The allocation of shares among the founders, and the number and size of outside investments, will tells volumes about the health, stability, and management of the business.

Technical Review 174

Technical Review Startup Invest Patents 174

Startup Professionals Musings

FEBRUARY 18, 2023

These terms quantify how fast money is being spent, and how long the business can survive before another round of investments is required. The allocation of shares among the founders, and the number and size of outside investments, will tells volumes about the health, stability, and management of the business.

Startup 83

Startup Technical Review Invest Patents 83

Startup Professionals Musings

MAY 14, 2023

Deferred payments start with stretching the payables period but, more importantly, include giving employee equity in lieu of a higher salaries and negotiating vendor deferred payments out of future revenues. That should equate to an adequate valuation for a $2 million follow-on Series-A round, without giving away all the equity.

Search Engine Optimization 103

Search Engine Optimization Outsource Development Social Media Equity 103

Berkonomics

MAY 8, 2014

I am chairman of a company that, as I write this, is twelve years old and has not yet taken a dollar of outside investment. The company has been funded entirely by grants from the National Institute of Health, amounting to millions of non-dilutive dollars in all. And often, grants come with detailed accounting and reporting requirements.

Company 166

Company Companies Writing Education 166

Startup Professionals Musings

FEBRUARY 27, 2023

Most universities have a file of patents from project work that they are willing to license to any entrepreneur for business commercialization, with little or no cost up front. Every startup needs to start their funding search looking for grants, with no equity dilution, as well as contests and foundations.

Entrepreneur 110

Entrepreneur Class Startup Resource 110

Startup Professionals Musings

APRIL 26, 2021

Patents are a good place for you to start. Most investors admit that they invest in the people, as much as the solution. You need to specify what investment amount you need, how you intend to use it, and what percent of your equity you are willing to give up to get it. Specify a primary customer channel for sales.

Funding 132

Funding Template Resource Competition 132

Startup Professionals Musings

NOVEMBER 4, 2011

The corporate entity lends itself best to the concept of “sharing” equity required by investors, and unincorporated entities don’t get funding. File a patent and trademarks to show real intellectual property. Prepare an investment-grade business plan. Line up an experienced team. Define some intellectual property.

Invest 99

Invest Angel Technical Review Summary 99

Startup Professionals Musings

JUNE 2, 2021

In many cases, growing the ecosystem is so important that your best competitive move may be to invest in facilitating “competition,” such as Tesla Motors giving away their battery patents to other auto providers, without royalties, to build the ecosystem. Find funders who seek long-term returns.

Competition 142

Competition Software Review Social Media Customer 142

Tech Zulu Event

AUGUST 28, 2013

Helping solicit new business ideas and patents from individuals, federal research labs, universities and other R&D organizations countrywide. After joining, one can search for a company co-founder or head to the platform’s “Jobs” section for opportunities listed by each company, allowing an exchange of services for equity in the company.

El Segundo 76

El Segundo Social Network Startup Patents 76

Startup Professionals Musings

AUGUST 19, 2020

Deferred payments start with stretching the payables period but, more importantly, include giving employee equity in lieu of a higher salaries and negotiating vendor deferred payments out of future revenues. That should equate to an adequate valuation for a $2 million follow-on Series-A round, without giving away all the equity.

Search Engine Optimization 124

Search Engine Optimization Outsource Development Social Media Equity 124

Startup Professionals Musings

MAY 30, 2020

Most universities have a file of patents from project work that they are willing to license to any entrepreneur for business commercialization, with little or no cost up front. Every startup needs to start their funding search looking for grants, with no equity dilution, as well as contests and foundations.

Class 124

Class Startup Resource Mentor 124

Startup Professionals Musings

JULY 27, 2018

This implies high odds of a scalable business, simply needing an investment to lead to success. Patents, trade secrets, and trademarks are very attractive to investors, since these are not easily overcome by competitors. Of course, investors want to see a positive return on their investment, with timeframes and growth expectations.

Product 58

Product Slides Entrepreneur Invest 58

Startup Professionals Musings

SEPTEMBER 29, 2018

Deferred payments start with stretching the payables period but, more importantly, include giving employee equity in lieu of a higher salaries and negotiating vendor deferred payments out of future revenues. That should equate to an adequate valuation for a $2 million follow-on Series-A round, without giving away all the equity.

Startup 89

Startup Search Engine Optimization Outsource Development Social Media 89

Startup Professionals Musings

JUNE 26, 2015

" Investors want to buy into an entrepreneur with a startup that can provide evidence of an ability to double customer productivity, at half the cost, with patented technology. Patents or other intellectual property are a real competitive advantage for a startup, but first to market and working harder are not sustainable.

Summary 101

Summary Patents Technical Review Competition 101

Startup Professionals Musings

SEPTEMBER 14, 2016

Deferred payments start with stretching the payables period but, more importantly, include giving employee equity in lieu of a higher salaries and negotiating vendor deferred payments out of future revenues. That should equate to an adequate valuation for a $2 million follow-on Series-A round, without giving away all the equity.

Startup 108

Startup Search Engine Optimization Outsource Development Social Media 108

Startup Professionals Musings

MAY 30, 2012

Of course, the first one gets the patent. But patent disclosure requirements often make imitation easier, and smart technologists can work around most patents anyway. Even banks, as well as equity investors, look more favorably on a proven business model than a new and unproven one. Easier to find investors.

Patents 84

Patents Startup Statistics Course 84

Startup Professionals Musings

APRIL 22, 2013

The reality is that angel investors are humans, and personal traits often make or break the relationship, even before the investment is considered. On the top line, angel investors look to invest in entrepreneurs that have an almost unwavering passion and sense of urgency. In the business, this is commonly called “fire in the belly.”

Technical Review 109

Technical Review Entrepreneur Course Patents 109

SoCal Delicious

SEPTEMBER 13, 2012

The Startup UCLA Accelerator Is About Entrepreneurship Not Investment Returns. Participating companies get between $4,000 and $8,000 in addition to mentorship and office space while participating in the 12 week program, and have to give up zero equity in exchange. It also won a number of key patents bit.ly/RiJCFI The iPad mini?

UCLA 47

UCLA Invest Startup Class 47

Startup Professionals Musings

FEBRUARY 26, 2011

Of course, the first one gets the patent. But patent disclosure requirements often make imitation easier, and smart technologists can work around most patents anyway. Even banks, as well as equity investors, look more favorably on a proven business model than a new and unproven one. Easier to find investors.

Startup 91

Startup Patents Statistics Course 91

Startup Professionals Musings

MARCH 18, 2012

The reality is that angel investors are humans, and personal traits often make or break the relationship, even before the investment is considered. On the top line, angel investors look to invest in entrepreneurs that have an almost unwavering passion and sense of urgency. In the business, this is commonly called “fire in the belly.”

Entrepreneur 117

Entrepreneur Technical Review Course Patents 117

Startup Professionals Musings

DECEMBER 8, 2017

For example, “I just patented a new cell-phone technology that will double battery life for half the cost. List key competitors and alternatives, highlighting your sustainable competitive advantages, such as patents and trademarks. Project revenues, costs and investment needs. Use concrete terms to quantify value and pain.

Startup 65

Startup Writing Patents Competition 65

Startup Professionals Musings

APRIL 10, 2016

These terms quantify how fast money is being spent, and how long the business can survive before another round of investments is required. The allocation of shares among the founders, and the number and size of outside investments, will tells volumes about the health, stability, and management of the business.

Startup 57

Startup Technical Review Invest Patents 57

Startup Professionals Musings

MAY 1, 2016

Most universities have a file of patents from project work that they are willing to license to any entrepreneur for business commercialization, with little or no cost up front. Every startup needs to start their funding search looking for grants, with no equity dilution, as well as contests and foundations.

Entrepreneur 55

Entrepreneur Capital Class Startup 55

Startup Professionals Musings

APRIL 30, 2012

Although their book is written for businesses of all sizes, I believe the principles apply especially to startups as follows: Increase return on equity invested. The first purpose of a strategy is to organize and reallocate your resources to increase return on the amount of money invested in your startup to-date. Scalability.

Startup 99

Startup Competition IP Patents 99

Startup Professionals Musings

OCTOBER 5, 2014

Deferred payments start with stretching the payables period but, more importantly, include giving employee equity in lieu of a higher salaries and negotiating vendor deferred payments out of future revenues. That should equate to an adequate valuation for a $2 million follow-on Series-A round, without giving away all the equity.

Entrepreneur 105

Entrepreneur Search Engine Optimization Outsource Development Social Media 105

Startup Professionals Musings

DECEMBER 16, 2013

The intent of this question is to determine the level of commitment of founders, both cash and “sweat equity,” and how much others have already invested into this plan. Implicit in the analysis of the answers is how much progress has been made for the investment, and how stable the business is now. What’s in this deal for me?

Startup 101

Startup Invest Patents Entrepreneur 101

Xconomy

MAY 30, 2016

I don’t know if it was their first investment, but they invested $75,000 in a researcher named Ken Olsen, at MIT. X: I read an article from 1998 that you were quoted in—it sounded like Stanford’s Niels Reimers helped MIT reorganize its patenting and licensing office in 1986 to make it more like Stanford’s model.

Startup 67

Startup Compton Research Technology 67

Startup Professionals Musings

MARCH 11, 2016

According to the Angel Capital Association , at least 300,000 people have made angel investments in the last two years, totaling $24 billion in the U.S. It takes more than one person, no matter how passionate, to grow an investible business. These are all accredited investors who risk their own money.

Angel 65

Angel Startup Technical Review Social Media 65

Startup Professionals Musings

DECEMBER 24, 2012

But many entrepreneurs don’t realize that Angels are also extremely discerning in the projects that they will invest in, rejecting approximately 97% of the proposals submitted to them, according to the California Investment Network. File a patent and trademarks to show real intellectual property. Line up an experienced team.

Angel 104

Angel Screening Summary Startup 104

Startup Professionals Musings

APRIL 19, 2010

Later, when your venture is trying to close on financing, or even going public, that forgotten partner surfaces, demanding equity. Disclosing inventions before the patent application is filed. Entrepreneurs often put off the hassle and the cost of filing a patent until first funding.

Startup 50

Startup Patents Entrepreneur Invest 50

Startup Professionals Musings

NOVEMBER 2, 2012

The intent of this question is to determine the level of commitment of founders, both cash and “sweat equity,” and how much others have already invested into this plan. Implicit in the analysis of the answers is how much progress has been made for the investment, and how stable the business is now. What’s in this deal for me?

Startup 97

Startup Invest Patents Customer 97

Startup Professionals Musings

AUGUST 27, 2012

Describe your technology patents and “secret sauce”. What equity is the company willing to give in return for the investment? What is the timeframe of return on investment? Here is how and why it works, including a customer-centric quantification of the benefits. Opportunity sizing. Funding requirements and use of funds.

Slides 99

Slides Competition Sample Sales 99