This financial valuation method involves searching specialized databases such as Royalty Source, ktMINE, RoyaltyRange, etc., or public patent registers, for transactions involving intellectual property assets with similar characteristics: industry sector, nature of the asset, territory covered, stage of development, and remaining term of protection.
Based on this information, it is possible to derive either a reference sale price or an applicable royalty rate.
The method’s relevance depends entirely on the quality of the available comparables. However, the intellectual property market is illiquid, and transaction terms are rarely made public, which often requires working with incomplete data or significantly adjusting the selected comparables.