While most of the start ups are busy devising a firm patent portfolio, have you realized how a potent patent portfolio can add the maximum economic moat to your start up business. For those who aren’t aware of the term: “Economic moat” refers to competitive advantage of a business over others. Angels and VCs are likely to invest in the business showing wide economic moat. Keeping this in mind, a start up entrepreneur can add substantial economic moat by attaining IP rights conferred by Patents, Trademarks , Copyrights and Designs.
The early stage start ups find it difficult with limited budget to accommodate for attorney’s fee, filing fee, responding to office actions and this could deter many young entrepreneurs from building a potent IP portfolio in the nascent stages. But trust me, if you manage to pass this stage, you won’t regret later. The economic benefit that a well constructed IP portfolio confers is far more than the initial investment. For a start up it is imperative to gain competitive advantage after bringing the idea to the market. A well constructed IP portfolio enables a start up to validate and position their idea considerably, thus, adding an adequate economic moat to the business. All in all, it’s the survival of the fittest and if you wish your start up to prosper, add the right mix of nutrients!
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