When talking about protecting ideas and innovation, patents quickly come to mind. Patents are a form of intellectual property - like trademarks, designs, and copyright - and protect a technical solution to a technical problem. Three conditions must be met: it must be novel, it must be inventive, and it must be manufacturable.
When the development of the inventive step to obtain a patent is challenging enough, a number of subsidy options are available. Key here is being proactive since subsidies and tax exemption for R&D enlighten the development process, not the implementation of it.
When having a patent, a new tax instrument comes in to play called innovation income deduction linked to the valorization of your patent. It is key here to focus on a strong patent since this gives the best added value in terms of protection and economic value.
Last but not least, we stress that the data leading to a patent also has a value and that it is worthwhile handling it with care. Data leakage prevention is in this a proper tool to safeguard your intellectual property!
The "Protecting innovation and beyond" seminar - presented by KPMG and De Clercq & Partners and hosted in the wonderful Wintercircus in Ghent - was structured around four main topics, each addressing critical aspects of intellectual property (IP) management and protection.
1. Timing and procedures for IP strategies:
This segment, led by Sarah Thysen, emphasized the strategic importance of timing in the patent application process. Key triggers for filing patents include having a proof-of-concept, ensuring plausibility, and filing before public disclosures or business negotiations. The segment advised leveraging the priority year to strengthen data and scope before global expansion and highlighted the importance of selecting filing routes based on market and competitor analysis. The discussion also covered the strategic use of the priority year, encouraging participants to strengthen data and assess commercial potential before international expansion.
2. The impact of a strong patent on tax incentives and other funding opportunities:
Dries Van Renterghem and Matthias Marescaux discussed how strong patents can enhance tax incentives and funding opportunities. Various grants and subsidies are available across different technology readiness levels, and the significance of the payroll tax exemption for R&D was highlighted. The innovation income deduction was noted as a means to reduce the tax burden for innovative companies. The seminar encouraged exploring government funding opportunities throughout various R&D stages, emphasizing that a stronger patent leads to greater tax benefits.
3. Tips and tricks to obtain strong patents:
Koen Vanhalst provided insights into obtaining strong patents, emphasizing the need for novelty, inventive steps, and enablement. Regular landscaping analysis and understanding prior art are crucial for claiming realistic and enforceable patents. The session stressed aligning IP strategy with business goals and maintaining a well-structured patent portfolio. The importance of knowing prior art and being realistic in claims was highlighted, along with the value of regular landscaping analysis to stay ahead of competitors.
4. Safeguarding proprietary knowledge amid increasingly complex IT environments:
Adriaan Larmuseau discussed the challenges of protecting proprietary data in R&D environments. The seminar highlighted the importance of Data Leakage Prevention (DLP) strategies, including the classification and protection of structured and unstructured data. Balancing agility and security in IT environments was deemed critical for safeguarding valuable research data. The session emphasized that while patents are public, the R&D behind them is not, and protecting this proprietary research is essential for maintaining competitive advantage.
Conclusion
As a conclusion, we like to offer four key take-aways:
- Be proactive
When working on an idea, it’s important to be aware of the value creation early on and how to translate that idea in something that you can protect against competitors (long before you go to the market). Different forms of legal protection are available, patents being one of the stronger ones. - Explore opportunities
Throughout the various research and development stages of your idea, a whole array of funding possibilities from the government exist that you can explore. If you can obtain legal protection of your idea and manage to exploit it successfully, you can even get a substantial tax reduction on that income. The stronger the patent, the higher that benefit. - Value of data
Be mindful that the data behind your idea needs to be protected because it contains enormous value. Legal protection may not be easy to get here, but you can design your processes in such a way your data is safe. - Seek guidance
Given the complexity of this domain and the many different opportunities at hand, it is important to have an experienced sparring partner in all of this. They can sketch you what to do best at what point in time. Needless to say that a cost-benefit evaluation can be made to help choosing the correct strategy.
Explore
Connect with us
- Find office locations kpmg.findOfficeLocations
- kpmg.emailUs
- Social media @ KPMG kpmg.socialMedia