How important are patents for raising capital?
A recent PitchBook Analyst Note says start-ups with patents raise larger rounds and have higher valuations.
Just last week, the inaugural session of the spring semester edition of the “Vol Court Speaker Series & Pitch Competition” focused on intellectual property.
How important are patents to successful fundraising for a start-up? Significant, according to a recent PitchBook Analyst Note.
“Start-ups with patents and patent applications in progress raise larger VC (venture capital) rounds on average,” PitchBook writes. “They also raise capital at much higher valuations than start-ups without such protection on their ideas, especially when it comes to angel investors, and achieve higher exit values down the line.”
The report can be downloaded here.
