Appraising IPR's before forming a Joint Venture, acquiring a company or entering into a contract is very important as it can help determine the amount of a transaction price or capital contribution.
Below are some questions that are useful in appraising:
- What is the market for the IPR?
- What is the IPR to be valued?(define boundaries)
- Do competitive products exist?
- Does an alternative exist?
- Is the protection for the IPR strong?
- Will the IPR gain or lose value in the future?
- Can a competitor design a similar product or offer a similar service without the IPR and at what cost?