Investing In innovation

Investing In Innovation

MAKING A LASTING IMPACT in THE WORLD

For decades, capital has flowed to software companies developing a digital world, while companies with innovations or intellectual property—IP—based on advanced science and engineering—deep tech—have been underfunded, undervalued, and underprotected.

IP Capital levels the playing field so that founders shaping the future of our physical world have the capital and expertise to scale in the global economy.

  • IP Growth Capital—an IP funding approach for growing IP-intensive companies that is more flexible than debt and less dilutive than equity investments—leaving founders in control (Founder-Friendly Capital)
  • IP Growth Plan—an IP growth framework for scaling, protecting, and monetizing IP assets, including expanding company operations and licensing partners globally in new markets, industries, and applications
  • IP Asset Class—an IP investment structure that generates IP royalties from IP asset use, secured by the IP assets, plus equity upside to share in IP-driven growth, with uncorrelated returns to investors and the potential for zero tax on gains (see Our Process)

IP is the most valuable untapped asset class in the world—an engine of limitless value creation.

To learn more

About US

Our Story

Leveling the playing field

Robert Cote FOUNDER & CEO

Groundbreaking and cutting-edge Innovations improving our physical world have been trapped in an outdated system. Visionary companies struggle to commercialize them, while existing industry players control capital, manufacturing, and market access. As a result, many transformative innovations never reach their full potential.

That’s why we created IP Capital—to level the playing field. A new investment model. A new asset class. A new way to scale, protect, and monetize IP assets beyond a single company, team, and business plan, including licensing existing market players and developing joint ventures and strategic partnerships globally.  

We transform a company's scalable IP assets, including new product designs, equipment, know-how, and brands for making and selling innovative products, into recurring revenue-generating financial assets or properties. Our guiding principles:

  1. Single Objective—investing in IP-intensive companies led by skilled management teams with scalable IP assets having an unmatched value proposition and high barriers to competition, providing a durable competitive advantage
  2. Single Realization—scalable IP assets can create value anywhere they are used in the world. When managed correctly, they hold limitless potential for value creation.

Think of us like property developers—but for intellectual property. Just as a developer provides capital and expertise to landowners to create real estate to generate rents, we do the same for IP assets to generate IP royalties. The key difference: real estate is fixed in place. IP assets can go anywhere. Infinite potential.

OUR MISSION

Our Model

Making IP Investments  

IP Capital

We invest IP Capital in scaling, protecting, and monetizing IP assets developed by disruptive technology companies, with our investment secured by the IP assets. We deploy IP Capital to expand operations to meet customer demand and license partners in new markets, industries, and applications to maximize the value of the IP assets for companies, investors, and people.

IP RoyaltIEs

In exchange, we receive a percentage of the company's revenues in the form of IP royalties, providing investors with a recurring cash yield—plus equity upside to share in the company value that we help to create, with the potential for zero tax on gains. Our solution is more flexible than debt and less dilutive than equity investments, leaving control in the hands of founders and entrepreneurs.

IP MANAGEMENT

We support each company with a team of IP and industry professionals that partner with management teams to develop and execute an IP growth plan that adds a second growth story. We expand the company’s existing IP asset portfolio and scale broader adoption of its IP assets through licensing, joint ventures, and strategic partnerships globally while ensuring robust protection.

To learn more

Our Process

Our Process

FINDING

Our process and our model drive the success of our investment strategy and mission: Finding, Funding, and Scaling a new generation of technology companies with breakthrough innovations — IP —that can deliver greener, more sustainable manufacturing and use of products in an industry that is more efficient and effective — that makes economic sense for businesses and people, not just the environment. These are the kinds of technologies that can rebuild advanced manufacturing back to America. Investing in the future of America in this way is driven by a core belief and faith — demonstrated time and time again throughout the course of our nation’s history — that the more value we create in the world for others through broad adoption of our breakthrough innovations, the more value we create for our nation, our people, and our investors.  

We, therefore, look for technology companies that have developed breakthrough innovations that hold the potential to deliver transformative economic value and impact in the world for businesses (higher profits, higher growth) and people (long-term growth in jobs and higher wages) through broad adoption, and that will deliver cash flows (IP royalties from company revenues) to our investors with a low correlation to the ups and downs of stock markets and the state of the economy. Recession proof.

1

Breakthrough IP

2

Scalable POTENTIAL

We look for breakthrough IP assets that also hold the potential to produce immeasurable ripple effects in the world when broadly adopted that will bring new opportunities to businesses and people — unlimited potential to benefit humanity — and that will inspire entrepreneurs to develop cascades of new innovations in applying these breakthrough IP assets to meet local needs, globally, and in other applications.

America's prosperity, its freedoms, and its global leadership — the  light that it shines on the world — have resulted from exactly this approach in ways that are unparalleled in history: in scaling broad adoption of breakthrough innovations in manufacturing new physical products, from planes, trains and automobiles to the telephone lines that connect our world, to the cellphones and smartphones in our pockets, to the computers and electronics in our homes and offices, to new medicines that save lives, to the Coca Cola that the world drinks.  

3

Asset BacKed

4

DURABLE REVENUES

5

STRONG CORE VALUES

FUNDING

6

IP CAPITAL

7

IP ROYALTY

8

IP returnS

SCALING

9

IP SERVICES

Our Difference

investment model

ip capital
venture capital
Investment
Strategy

investing in scaling the manufacturing capacity and operations of companies with new physical products based on breakthrough IP, with the investment strategy to have a lasting impact in the world for people through broad adoption and bring advanced manufacturing to America.

High barriers to competitors developing competing solutions (breakthrough IP involves deep science and engineering based breakthroughs and enabling IP assets for making new physical products that require many years to develop and commercialize, and large capital investments).

Investing in the broader business plan needs of companies with new digital products in high growth markets based on software IP, with the investment strategy to drive higher equity valuations over a series of financing rounds in the hope of achieving target returns in an exit for investors.

Low barriers to competitors developing competing solutions (software IP mostly involves incremental improvements that enable existing businesses and new business models to operate over the internet, i.e., online, through software apps and services on smartphones and computers)

Asset Backed

Yes.
Investment secured by the company's breakthrough IP and IP assets (new product designs, know-how, and proprietary manufacturing equipment) and (ii) contracts with customers, suppliers, and partners that enable its business to operate.

No losses expected.

No.
Investment unsecured with venture capital relying on the promise of a company's business plan projections to support higher equity valuations and paper returns at each financing round that are unlikely to be realized in a future company exit.

High losses.

Dividend
Paying

Yes.
We receive a % of company revenues that enables us to pay dividends ("revenue share" or "IP royalty").

No.
% of company equity ownership and no dividends ("equity ownership").

Scaling
Services

Yes.
We provide IP management, technology, and operations support, along with a shared technology platform for integrating smart manufacturing.

No.
Monitor investments with the promise of sharing access to a network of human resources for growth, the value of which is difficult to predict or determine.

Exit
Upside

Yes.
We receive an IP royalty buyout % in a future company exit (IPO, sale) that buys out our revenue share or a fund exit that sells the revenue share.

Unlikely.
Equity ownership % in a future company exit (IPO, sale) only, with the exit and its value at high risk due to competitors with competing software solutions.

Investment Focus
ip capital
venture capital
Asset Backed
ip capital
venture capital
Dividends
ip capital
venture capital
Scaling Services
ip capital
venture capital
Exit Upside
ip capital
venture capital

investor returns

ip capital
venture capital
Cash Yield

12%-15% annual cash yield, paid quarterly.Average annual cash yield over 5 years, ramping up with revenues, from a target low of 5% in early years to 20% or more in later years.

None.

Exit
Options

5 years to a future company exit (IPO, sale) or a fund exit that sells the revenue share.

5-10 years to a future company exit (IPO, sale) to grow equity value.

Total
Returns

Greater than a 2x net multiple, 20% IRR. Minimum return for each fund investment because of the differences of the IP Capital investment model.

There is unlimited potential upside in each investment beyond the minimum because the capital and services of the IP Capital model are focused on scaling broad adoption of breakthrough IP.

Less than a 2x net multiple, 20% IRR.Total return for all fund investments because of the high risk and high losses of the venture capital model.

To make up for the high losses of the venture capital model, the total return targeted in each investment is a 5-10x multiple, 100% IRR, which requires taxing each company with high equity ownership.

Cash Yield
ip capital
venture capital
Exit Options
ip capital
venture capital
Total Returns
ip capital
venture capital

MANAGER feeS

ip capital
venture capital
Management Fee

No Management Fee.

20% management fee.
Management fee is paid out of fund capital at 2% per year for 10 years for monitoring the progress of fund investments, regardless of performance.

Transaction
Fee

5% transaction fee.
Transaction fee is paid one-time upfront on top of Fund capital for the added disciplines of the IP Capital investment model and process and to support building the mission and community.

Not applicable.

Management Fee
ip capital
venture capital
Transaction Fee
ip capital
venture capital

MANAGER INTEREST

ip capital
venture capital
Profit Interest

20% of fund profits.
Fund profits from the revenue share and from the IP royalty buyout in a future company exit, or a fund exit that sells the revenue share.

20% of fund profits.
Fund profits from the equity ownership in a future company exit.

Performance Required

Growing company revenues.
Real value. Low correlation to the ups and downs of stock markets and the state of the economy.

Growing company equity value.
Speculative value. Highly correlated with the ups and downs of stock markets and the state of the economy.

Profit Interest
ip capital
venture capital
Performance Required
ip capital
venture capital

Benefits

Companies

An innovative IP asset-backed funding  solution for technology companies with scalable IP assets that provides the capital and expertise to scale, protect, and monetize IP assets. More flexible than debt and less dilutive than equity investments, IP Capital leaves control with founders and entrepreneurs

Investors

A high-yield alternative asset class for investors that generates cash flows from IP royalties backed by the IP assets, plus equity upside to share in the value we help to create, with the potential for zero tax on gains. IP Capital generates total returns that are uncorrelated with markets and business cycles.

People

A driver of economic prosperity that promotes broader adoption of scalable IP assets. We  make transformative physical technologies accessible globally and lay a foundation for advanced manufacturing to build again. IP Capital  creates higher quality, better paying jobs for people worldwide.

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leadership

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Additional Team Members

No items found.

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Investors seeking high-yield alternative investment opportunities?
Or companies ready to scale your innovations?

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A New paradigm

To Learn More About Us  

ABOUT US

Investing In The
Future of America

MAKING A LASTING IMPACT in THE WORLD

We make IP capital investments in growth stage technology companies that have developed breakthrough intellectual property assets based on advanced science and engineering for producing new products and services with an unmatched value proposition and high barriers to competition.

We deliver IP services to assist these deep tech companies in scaling, protecting, and monetizing broader use of their IP assets to meet global demand, including funding and scaling operations, joint ventures, and partnerships in other markets or market segments, industries, and end uses.

In return, we receive an IP royalty, a share of revenues, plus equity-like upside for the value that we help to create with these companies, that leaves ownership and control in the hands of founders and entrepreneurs building the business. Our IP capital investments are secured by the IP assets.

To Learn About Our
Fund and its Deals

lEARN MORE

Our Story

Message From Our Founder

Robert Cote FOUNDER & CEO

Following the emergence of the internet at the end of the last century and the shift in focus by our nation to investments in digitizing our physical world through software apps and online websites, we witnessed the offshoring of our nation’s manufacturing industries and IP assets to low cost labor markets. This shift has unlocked fierce global competition today that must be addressed as a priority to protect our national security and the light that our nation shines on the world.

We must focus our nation once again, as we did in last industrial revolution, on investments in companies that have developed breakthrough IP assets based on advanced science and engineering that can revolutionize our industries with leaps forward in productivity, efficiency, and performance driving long-term economic growth for our nation, including millions of new jobs and higher wages for people.

To do our part, we will invest billions of dollars in scaling a new generation of these deep tech companies to rebuild our physical world. Our mission is bringing manufacturing back to America and ensuring that our nation is not left behind in the face of global competition.

Our Mission

Our Model

Finding, Funding, and Scaling
Breakthrough Innovations

IP Capital

We invest IP capital in scaling, protecting, and licensing the breakthrough innovations, or "IP assets," of growth-stage technology companies, including expanding operations globally to meet demand, secured by the value of the IP assets, such as new product and equipment designs, know-how, processes, data, patents, trade secrets, and brands.

IP Asset Backed.

IP Royalty

We receive a percentage of a company's revenues, or "IP royalty,"  for use of the IP assets, which allows us to provide our investors with a recurring cash yield, plus equity upside to participate in the value we help to create with IP capital, which is less dilutive for founders and entrepreneurs, leaving ownership and control in their hands.

IP Dividend Paying.

IP Services

We provide IP management services, including IP operating personnel to assist the company in scaling, protecting, and licensing broader adoption of their IP assets globally, including through joint ventures and partnerships in other markets, industries, and end uses, along with industry operating personnel skilled in expanding the related business operations.

IP Scaling Services.

To learn more, click below

Our Difference

Our Process

FINDING

Our process and our model drive the success of our investment strategy and mission: Finding, Funding, and Scaling a new generation of technology companies with breakthrough innovations — IP —that can deliver greener, more sustainable manufacturing and use of products in an industry that is more efficient and effective — that makes economic sense for businesses and people, not just the environment. These are the kinds of technologies that can rebuild advanced manufacturing back to America. Investing in the future of America in this way is driven by a core belief and faith — demonstrated time and time again throughout the course of our nation’s history — that the more value we create in the world for others through broad adoption of our breakthrough innovations, the more value we create for our nation, our people, and our investors.  

We, therefore, look for technology companies that have developed breakthrough innovations that hold the potential to deliver transformative economic value and impact in the world for businesses (higher profits, higher growth) and people (long-term growth in jobs and higher wages) through broad adoption, and that will deliver cash flows (IP royalties from company revenues) to our investors with a low correlation to the ups and downs of stock markets and the state of the economy. Recession proof.

1

Breakthrough IP

2

INFINITE POTENTIAL

We look for breakthrough IP assets that also hold the potential to produce immeasurable ripple effects in the world when broadly adopted that will bring new opportunities to businesses and people — unlimited potential to benefit humanity — and that will inspire entrepreneurs to develop cascades of new innovations in applying these breakthrough IP assets to meet local needs, globally, and in other applications.

America's prosperity, its freedoms, and its global leadership — the  light that it shines on the world — have resulted from exactly this approach in ways that are unparalleled in history: in scaling broad adoption of breakthrough innovations in manufacturing new physical products, from planes, trains and automobiles to the telephone lines that connect our world, to the cellphones and smartphones in our pockets, to the computers and electronics in our homes and offices, to new medicines that save lives, to the Coca Cola that the world drinks.  

3

Asset BacKed

4

DURABLE REVENUES

5

STRONG CORE VALUES

FUNDING

6

IP CAPITAL

7

IP ROYALTY

8

IP returnS

SCALING

9

IP SERVICES

Our Difference

investment model

ip capital
venture capital
Investment
Strategy

investing in scaling the manufacturing capacity and operations of companies with new physical products based on breakthrough IP, with the investment strategy to have a lasting impact in the world for people through broad adoption and bring advanced manufacturing to America.

High barriers to competitors developing competing solutions (breakthrough IP involves deep science and engineering based breakthroughs and enabling IP assets for making new physical products that require many years to develop and commercialize, and large capital investments).

Investing in the broader business plan needs of companies with new digital products in high growth markets based on software IP, with the investment strategy to drive higher equity valuations over a series of financing rounds in the hope of achieving target returns in an exit for investors.

Low barriers to competitors developing competing solutions (software IP mostly involves incremental improvements that enable existing businesses and new business models to operate over the internet, i.e., online, through software apps and services on smartphones and computers)

Asset Backed

Yes.
Investment secured by the company's breakthrough IP and IP assets (new product designs, know-how, and proprietary manufacturing equipment) and (ii) contracts with customers, suppliers, and partners that enable its business to operate.

No losses expected.

No.
Investment unsecured with venture capital relying on the promise of a company's business plan projections to support higher equity valuations and paper returns at each financing round that are unlikely to be realized in a future company exit.

High losses.

Dividend
Paying

Yes.
We receive a % of company revenues that enables us to pay dividends ("revenue share" or "IP royalty").

No.
% of company equity ownership and no dividends ("equity ownership").

Scaling
Services

Yes.
We provide IP management, technology, and operations support, along with a shared technology platform for integrating smart manufacturing.

No.
Monitor investments with the promise of sharing access to a network of human resources for growth, the value of which is difficult to predict or determine.

Exit
Upside

Yes.
We receive an IP royalty buyout % in a future company exit (IPO, sale) that buys out our revenue share or a fund exit that sells the revenue share.

Unlikely.
Equity ownership % in a future company exit (IPO, sale) only, with the exit and its value at high risk due to competitors with competing software solutions.

Investment Focus
ip capital
venture capital
Asset Backed
ip capital
venture capital
Dividends
ip capital
venture capital
Scaling Services
ip capital
venture capital
Exit Upside
ip capital
venture capital

investor returns

ip capital
venture capital
Cash Yield

12%-15% annual cash yield, paid quarterly.
Average annual cash yield over 5 years, ramping up with revenues, from a target low of 5% in early years to 20% or more in later years.

None.

Exit
Options

5 years to a future company exit (IPO, sale) or a fund exit that sells the revenue share.

5-10 years to a future company exit (IPO, sale) to grow equity value.

Total
Returns

Greater than a 2x net multiple, 20% IRR.
Minimum return for each fund investment because of the differences of the IP Capital investment model.

There is unlimited potential upside in each investment beyond the minimum because the capital and services of the IP Capital model are focused on scaling broad adoption of breakthrough IP.

Less than a 2x net multiple, 20% IRR.
Total return for all fund investments because of the high risk and high losses of the venture capital model.

To make up for the high losses of the venture capital model, the total return targeted in each investment is a 5-10x multiple, 100% IRR, which requires taxing each company with high equity ownership.

Cash Yield
ip capital
venture capital
Exit Options
ip capital
venture capital
Total Returns
ip capital
venture capital

MANAGER feeS

ip capital
venture capital
Management Fee

No Management Fee.

20% management fee.
Management fee is paid out of fund capital at 2% per year for 10 years for monitoring the progress of fund investments, regardless of performance.

Transaction
Fee

5% transaction fee.
Transaction fee is paid one-time upfront on top of Fund capital for the added disciplines of the IP Capital investment model and process and to support building the mission and community.

Not applicable.

Management Fee
ip capital
venture capital
Transaction Fee
ip capital
venture capital

MANAGER INTEREST

ip capital
venture capital
Profit Interest

20% of fund profits.
Fund profits from the revenue share and from the IP royalty buyout in a future company exit, or a fund exit that sells the revenue share.

20% of fund profits.
Fund profits from the equity ownership in a future company exit.

Performance Required

Growing company revenues.
Real value. Low correlation to the ups and downs of stock markets and the state of the economy.

Growing company equity value.
Speculative value. Highly correlated with the ups and downs of stock markets and the state of the economy.

Profit Interest
ip capital
venture capital
Performance Required
ip capital
venture capital

Benefits

Investors

A proven team, model, and process, mission driven, for investing in companies with breakthrough IP having a low correlation to the ups and downs of stock markets and the state of the economy, that is asset backed, and that provides a cash yield and the potential for exponential growth in returns in a future company exit (IPO, sale).

Companies

Access to capital for building out manufacturing capacity and operations to meet customer demand and secure contracts, a shared technology platform for integrating smart manufacturing, and IP services to protect, optimize, and scale use of the IP assets, without giving up equity ownership or control or being forced to exit.

People

Broad adoption of breakthrough innovations that can build a better world for humanity , including produce long-term growth in jobs and higher wages for people and their communities, and will lay a foundation for bringing manufacturing back to America to ensure our nation is not left behind in the face of global competition.

Contact Us

Our Team

Leadership

Robert Cote
Robert Cote
Founder & CEO
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Neal Shah
Neal Shah
Chief Financial Officer
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Brian Hinman
Brian Hinman
Chief IP Officer
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Michael Durham
Michael Durham
Chief Scaling Officer
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Pierre Hubert
Pierre Hubert
Chief IP Counsel
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Erin Hudson
Erin Hudson
General Counsel
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Additional Team Members

Greg Lavender
Greg Lavender
Technology Advisor
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Robert Shapiro
Robert Shapiro
Economic Advisor
Read More

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COTE
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