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Software Patents Have Become a Startup Nightmare
December 14, 2012 /
I always advise software startups to file patents to protect their "secret sauce" from competitors, and to increase their valuation. The good news is that a patent can scare off or at least delay competitors, and as a "rule of thumb" patents can add up to $1M to your startup valuation for investors, or for M&A exits (merger and acquisition).
The bad news is that patent trolls (non-practicing companies that make their money from licensing patents) can squeeze the lifeblood out of unsuspecting entrepreneurs.
Martin Zwilling
Full Story: http://blog.startupprofessionals.com/2012/12/software-patents-have-become-startup.html
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