Q. Why should my firm commission a Trade Secret Valuation Report?
A. In many instances, trade secrets are literally the secret sauce behind a company’s commercial success. A 2013 study performed by the School of Economics and Management at the Technical University of Lisbon concluded that 90 percent of the most innovative products in the marketplace are protected by trade secrets. Electing not to value your enterprise’s most valuable assets could significantly shortchange your company.
Q. If I have commissioned a Patent Fairness Opinion, is it necessary to also commission a Trade Secret Valuation Report?
A. If your trade secrets are an important value driver to your business, they should be valued. Such valuation can be presented in the form of a dedicated Trade Secret Valuation Report or can be incorporated into a Patent Fairness Opinion / Patent Valuation Report.
Q. What should I look for in a firm that prepares Trade Secret Valuation Reports?
A. In short, both the analyst and firm writing the Trade Secret Valuation Report should:
Q. What are my obligations to the firm I retain to write a Trade Secret Valuation Report?
A. You should be prepared to provide the analyst with all documents and materials related to the subject trade secrets. The client should be prepared to devote several hours (as necessary) to analyst interviews. To ensure the analyst’s objectivity, you may be asked to pay most—or all of—the required retainer upfront.
Q. How long does it take to prepare a Trade Secret Valuation Report?
A. The time necessary to prepare a Trade Secret Valuation Report is a function of the clients’ ability to provide the necessary documentation and to schedule interviews and follow-up calls. In general, a Trade Secret Valuation Report should be completed within four to six weeks of the receipt of the retainer.