Venture capital (VC) funding for medical technology companies has been challenging in recent years. A strategic patent portfolio is crucial to a medtech company’s growth and survival and can help secure funding. A recent study found that a startup has about a 2.5 times greater chance of achieving success within 10 years of VC investment if it holds patents before the investment. For early-stage medtech companies, patents are often an important way for investors to place a value on a company’s technology and judge the potential success of the investment before sales that often begin only after regulatory approval.
While there are no short cuts to building a strategic patent portfolio, this article discusses several techniques that can help early-stage medtech companies get a head start on competition.
License a Proven Technology
Licensing a proven technology is a quick way to begin building a patent portfolio.
Medtech companies can license technology that is already patented from academic institutions and research hospitals. Licensing such technology not only comes with a patent portfolio, but also can minimize the risks associated with new technologies and shorten the time to market. The inventors may have already tested the technology, established the proof of concept, and will likely be available to perform further research to improve the technology or serve as scientific advisors to the company.