Patent brokers use their business connections to actively manage patent portfolios. They showcase them in the market, and also advise clients regarding valuation, infringement, and licensing, among several other factors. 

• Firstly, patent brokers bring expertise and market knowledge to the table. They provide you with updated information regarding laws and regulations surrounding intellectual property and the patent application process.  

• Secondly, patent brokers conduct thorough due-diligence on the patents involved in the transaction. This helps save prospects the time in similar checks. These checks are usually done in patent databases such as PatSeer and involve checking the active status of the records, going through the entire legal history of the patent families to ensure there are no adverse events, evaluating the time left before expiry of the invention and finally also ensuring if the claims held by the patent are well written and robust to safeguard the invention from potential infringement and whether all the workaround loopholes are covered.  

• Thirdly, patent brokers provide potent buying and selling advice and other strategic guidance. This can direct you regarding the types of patents you should go after to enhance your portfolio in order to create a better defensive or offensive position in the market you are active in. Patent brokers also negotiate with prospects on your behalf.  

• Additionally, brokers bring protection from fraud and help mitigate risks on multiple fronts, such as during the licensing or ownership transfer process.  

• Lastly, while hiring a broker involves initial and post-transactional costs, the overall cost savings in the long run easily balances out.  

Now, brokers may be categorized into several types based on the role they play. Let’s take a look.