Method and system for valuing intangible assets

Abstract

The present invention provides a method and system for valuing patent assets based on statistical survival analysis. An estimated value probability distribution curve is calculated for an identified group of patent assets using statistical analysis of PTO maintenance fee records. Expected valuations for individual patent assets are calculated based on a the value distribution curve and a comparative ranking or rating of individual patent assets relative to other patents in the group of identified patents. Patents having the highest percentile rankings would be correlated to the high end of the value distribution curve. Conversely, patents having the lowest percentile rankings would be correlated to the low end of the value distribution curve. Advantageously, such approach brings an added level of discipline to the overall valuation process in that the sum of individual patent valuations for a given patent population cannot exceed the total aggregate estimated value of all such patents. In this manner, fair and informative valuations can be provided based on the relative quality of the patent asset in question without need for comparative market data of other patents or patent portfolios, and without need for a demonstrated (or hypothetical) income streams for the patent in question. Estimated valuations are based simply on the allocation of a corresponding portion of the overall patent value “pie” as represented by each patents' relative ranking or position along a value distribution curve

1 . A method for estimating a value for a selected patent on a non-currency-denominated scale, the method comprising the steps of:
 estimating a value distribution curve, the shape of the value distribution curve is determined to correspond to an estimated statistical distribution of expected patent values;   determining a score for said selected patent based on one or more metrics determined to be statistically correlated to patent value;   using the determined score and the estimated value distribution curve to determine an expected value for said selected patent, said determined expected value is functionally correlated to said determined score; and   converting the estimated expected value to a non-currency-denominated scale.